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By Robert Leeson

This quantity brings jointly many of the worlds prime economists, to concentration totally on Canadian coverage concerns and case examine debates in honor of David Laidler. The booklet commemorates his luck and lively participation within the learn and research of financial coverage.

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Canada’s experience over the past decade suggests, however, that political commitment to the inflation target and instrument independence for the Bank in striving to hit it is an arrangement with some durability. Accountability Turning to the ability of the population and the elected government to apply corrective action if the Bank fails to achieve its target, the two-percent period certainly deserves a passing grade. 16 Notable in this effort is the Bank’s transparency with regard to its assessment of the economy.

The new regime scored much higher on the political commitment scale. Not only did the elected government of the day endorse the targets, but in the federal election campaign of late 1993 – to the relief of those, including David, who feared the Finance Minister’s involvement might expose the targets to partisan attack (Laidler 1991a) – the targets were not an explicit issue. 6 Target Band CPI inflation and target band: 1990–2005 William Robson 17 meant that monetary policy did figure in the campaign, the focus of criticism tended to be Governor Crow himself.

P. 1995. Change for a Buck: The Canadian Dollar after Quebec Secession. C. D. Howe Institute Commentary 68. March. —— 2000a. ’ C. D. Howe Institute Backgrounder. March 7. —— 2000b. ’ National Post, 19 May. Robson, William B. P. and David E. W. Laidler. 2002. No Small Change: The Awkward Economics and Politics of North American Monetary Integration. C. D. Howe Institute Commentary 167. July. Roger, Scott and Mark R. Stone. 2005. ‘On Target? ’ IMF Working Paper WP/05/163. Washington. August. Thiessen, Gordon.

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