00000nam 2200000za 4500 9.856757 CaOODSP 20221107155614 cr ||||||||||| 180518s2018 oncd ob f000 0 eng d CaOODSP eng eng fre n-cn--- FB3-5/2018-20E-PDF Dunbar, Geoffrey R. The (un)demand for money in Canada [electronic resource] / by Geoffrey Dunbar and Casey Jones. [Ottawa] : Bank of Canada, 2018. ii, 42 p. : col. charts. Bank of Canada staff working paper, 1701-9397 ; 2018-20 "May 2018." Includes bibliographical references (p. 28-30). "A novel dataset from the Bank of Canada is used to estimate the deposit functions for banknotes in Canada for three denominations: $1,000, $100 and $50. The broad flavour of the empirical findings is that denominations are different monies, and the structural estimates identify the underlying sources of the non-neutrality. There is evidence of large and significant deposit costs for the highest-value denomination, the $1,000 banknote, but insignificant costs for the $100 and $50 denominations. The results imply that the interest rate elasticity of deposit is positive for the $1,000 but negative for the $100 and the $50. Third, 5 percent of the $1,000, 30 percent of the $100 and 22 percent of the $50 banknotes ever issued by the Bank of Canada do not circulate through financial institutions (in Canada). Finally, we find evidence that the Lehman Brothers crisis increased the deposit probability by a factor of 2–3 for the $1,000 banknote for a majority of the population in Canada"--Abstract, p. ii. Includes abstract in French. gccst Currency Bank deposits Econometrics Jones, Casey. Bank of Canada. Staff working paper (Bank of Canada) 1701-9397 ; 2018-20. (CaOODSP)9.806221 PDF 1.32 MB https://publications.gc.ca/collections/collection_2018/banque-bank-canada/FB3-5-2018-20-eng.pdf