IMF Staff Country Reports

Canada: Selected Issues

Publication Date:

June 18, 1996

Summary:

This Selected Issues paper addresses some of the key policy and economic challenges facing the Canadian economy. The paper presents a new approach to predicting the business cycle in the context of the Canadian economy. This approach uses a range of parametric and nonparametric tests to gauge the ability of various indicators to predict turning points in the business cycle. The paper also presents a model that links the inflation rate to the business cycle and the rates of change in the exchange rate and in unit labor costs.

Series:

Country Report No. 1996/038

Subject:

Balance of payments Current account Cyclical indicators Disposable income Economic growth Financial services Inflation National accounts Prices Yield curve

Notes:

This report was prepared by a staff team of the International Monetary Fund as background documentation for the periodic consultation with this member country. In releasing this document for public use, confidential material may have been removed at the request of the member.