Because investing is ultimately the practice of making reasonable tradeoffs between risk and return, having an accurate measure of both is a critical
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Tag: Inflation
In Defense of Cash
Most investors intuitively recognize the benefit of purchasing distressed assets “on-sale” when markets periodically correct, yet very few actually hold the cash required
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How the Bank of Canada Creates Money
ABSTRACT This paper provides a general understanding of the process by which the Bank of Canada (BoC) creates money through large scale asset
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On Inflation, QE, and Canada’s Fiscal Deficit
Given the recent unprecedented actions taken by both the Government of Canada and the Bank of Canada in response to the pandemic, it
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Do Banks “Spend” Reserves?
As regular readers are no doubt aware, I’ve often argued against the notion that QE operations conducted by the Bank of Canada are
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