The primary responsibility of the Research Department is to provide Bank management with high quality, timely analysis of the Canadian economy and related policy issues. Its principal activities include assessing current and prospective economic conditions in Canada and carrying out research to improve our understanding of the operation of the Canadian economy and the effects of public policies. The department also plays an active role in the communication of monetary policy and as external liaison with the academic community and other central banks and international organizations. The department disseminates its work at seminars and conferences, as well as through working papers and economic journals.
The Current Analysis Division is responsible for analyzing current developments in the Canadian economy and for forecasting the evolution of the economy in the near term (the next 3 to 6 months), with particular emphasis on the various components of aggregate spending, labour markets, sectoral developments, and inflation. The division also monitors the fiscal positions of the federal and provincial governments. It conducts a broad research program aimed at increasing the understanding of how the economy works. Analysis of current developments is conducted in a team-based environment to help economists acquire a well-rounded understanding of the Canadian economy. A 3-month research stage helps economists develop research skills.
The Projection Coordination and Model Development is responsible for the development and maintenance of a suite of macroeconomic models of the Canadian economy that are used to analyze major economic developments and alternative macroeconomic policies in order to prepare economic projections of the Canadian economy. The staff economic projection is a key input in the monetary policy decision-making process.
The Macroeconomic Studies Division conducts research on longer-term issues that are relevant to Canadian monetary policy and plays an important role in the development of economic models for policy analysis. It keeps abreast of theoretical and empirical advances in the economics profession and informs management of the implications of these developments for monetary policy.
The Structural Studies Division conducts research focused on a better understanding of the key linkages in the Canadian economy and their relevance for monetary policy. As part of this analysis, staff explore the relationships between microeconomic behaviour and macroeconomic outcomes, using theoretical models and applied econometric research. Projects are currently being undertaken in the areas of productivity growth, fiscal policy, and labour market and sectoral analysis.
The Regional Analysis Division is engaged in analysis, research, and communications activities conducted by economists in Ottawa and in the five regional offices in Halifax, Montréal, Toronto, Calgary, and Vancouver. The division conducts surveys of businesses to gather information on economic developments and topics of interest to the Bank. The division also meets regularly with associations and governments. The information gathered from these various contacts and related analysis is used in the monetary policy decision-making process. The division undertakes economic research that helps the Bank better understand the functioning of the Canadian economy and the factors affecting the regions. It also communicates with various stakeholders to enhance the understanding of monetary policy and provides a gateway into the Bank by expanding contacts and seeking research partnerships.
The Information and Data Management Division contributes to the Research Department's (RES) objectives by providing the internal data-management and processing services that are required to support the analysis and forecasting of near-term economic conditions in Canada. This includes the periodic manipulation, verification, and analysis of financial and economic data for the purposes of database storage, retrieval, as well as the generation of tables/reports and graphs. The management of information and data is conducted in a team-based environment to foster and develop a well-rounded understanding of data-management practices.