Bank of Canada: Monetary Policy by https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb By Jaime Barillas en-us 2020-04-18 00:28:47 UTC 2020-04-18 03:29:28 UTC hello@padlet.com https://padlet.net/icons/png/1f4b5.png 1. Welcome jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513870793 This padlet contains information on the Bank of Canada's monetary policy, what a monetary policy is, and some ways in which it is implemented.]]> 2020-04-18 00:32:32 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513870793 3. Website jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513871244 I. Canada's monetary policy focuses on "preserving the value of money by keeping inflation low, stable, and predictable." The Bank of Canada achieves this by using the inflation-control target and taking advantage of the flexible exchange rate. To achieve the inflation target, the Bank of Canada modifies the overnight rate. If inflation is high, the overnight rate rises. If inflation is low, the overnight rate lowers. Canada's flexible exchange rate allows policy makers to focus on maintaining that target inflation rate.

II. The official web page for the Bank of Canada provides the most accurate and up to date information! It should be the first place anyone goes to an overview about Canada's economy and how it's managed. The website is also clean and easy to read.]]> 2020-04-18 00:33:33 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513871244 2. Website Description jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513873230 I. A monetary policy can have the objective to control inflation, consumption, or economic growth. The monetary authority can achieve these goals by controlling the interest rate, buying or selling bonds, or regulating the foreign exchange rate. Monetary policy can be divided into two types: contractionary and expansionary. During a recession, you generally want an expansionary approach to a monetary policy. If inflation increases, you can apply a contractionary policy to slow it down.

II. I chose this website because it focuses on explaining what a monetary policy is. It neatly describes the term first before going into more detail about different types of monetary policy and the tools used to achieve their goals.
]]> 2020-04-18 00:37:48 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513873230 4. Website Floating Exchange Rate jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513879595 I. Section:
Riding the Tides of the Global Economy
The flexible exchange rate is supposed to act as a sort of buffer. Without flexibility, it is possible that prices, wages, and unemployment could fluctuate with the market, which would be bad for the Canadian economy.

II. The article is written by the Governor of the Bank of Canada himself. The article reads well and clearly explains the purpose of the flexible exchange rate: to allow us to focus on achieving the inflation target.]]> 2020-04-18 00:52:14 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513879595 5. Website Inflation-Control Target jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513881979 I. The inflation control target is mostly measured through the consumer price index (cpi). The target inflation is 2 percent, the middle point between an acceptable 1 - 3 percent. This agreement over the inflation target has been reviewed five times since '91. The Bank of Canada adjusts the overnight rate (policy interest rate) to influence other market interest rates in the Canadian economy. It usually takes 1.5 to 2 years to see the results.

II. I chose this web page because it was target at a single topic, the two column layout makes it pleasant to read, and its content is compact.]]> 2020-04-18 00:57:50 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513881979 6. Video Floating and Fixed Exchange Rate jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513884616 I. A floating exchange rate changes with market demand and supply. A fixed exchange rate is when one currency is pegged to the value of another currency. Exports and imports can have a large affect on which type of exchange rate you may desire.

II. Short and quick video, what more could you want?]]> 2020-04-18 01:03:49 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513884616 7. Video Monetary Policy Report for April 2020 in One Minute jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513889507 I. A short video that says that interest rates were lowered in response to the Covid-19 pandemic. The lowered interest rates are supposed to help the recovery of the economic health of Canada in the future.

II. It's always good to stay up to date on the current state of things! This video shows a real-life example of the monetary policy in action.]]> 2020-04-18 01:15:19 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513889507 8. Video Consumer Price Index jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513890981 I. The consumer price index can be used to determine the current inflation rate. The cpi is calculated from many different products and services the average Canadian may purchase or pay for.

II. A well made video with relevant information, and a clear neutral English voice (important so you can set the speed to 2x). Set the speed to 2x.]]> 2020-04-18 01:19:20 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513890981 8. Video Monetary Policy Tools jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513900125 Monetary policy tools available to countries when executing their monetary policy. The video talks about actions the banks can take to affect the money supply and interest rate. Not part of the two major ways the Bank of Canada executes their monetary policy but it is good to have a rounded understanding of a topic.]]> 2020-04-18 01:41:32 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513900125 12. Reflective Questions jaimebarillas https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513910976 1. Canada's approach to managing inflation involves two main instruments: The inflation-control target and the flexible exchange rate. I suspected achieving the goals of the monetary policy would require more than two main tools.
2. The main goal of the monetary policy, as stated by the Bank of Canada, is to "preserve the value of money by keeping inflation low, stable, and predictable." The management of the inflation rate and the value of my money can have effects on my personal financial health. It can affect my decisions in investments and the like.
3. Stay informed! You can't make smart decisions without information.]]> 2020-04-18 02:05:25 UTC https://padlet.com/jaimebarillas/uj9o3xii7nokfkrb/wish/513910976