EC223 Chapter Notes - Chapter 15: Payments Canada, Deflation, Financial Institution
Document Summary
The great depression contributed to significant changes in government policy, including fiscal policy, monetary policy, banking policy, and international policy. Initially, the bank of canada was a private institution but was nationalized in 1938, so it is now a national institution with headquarters in ottawa, the bank also has regional offices. Unlike a private bank that operates in pursuit of profit, the bank of canada is responsible for the country"s monetary policy and the regulation of canada"s deposit-based financial institutions. The overall responsibility for the operation of the bank of canada rests with a board of directors, which consists of 15 members the governor, the senior deputy governor, the deputy minister of finance, and twelve outside directors. The board appoints the governor and senior deputy governor with the government"s approval, for a renewable term of 7 years. The outside directors are appointed by the minister of finance. Currently, the governor of the bank of canada is mark carney.
