The more effective the Bank can be in its guiding role, the greater the chance of a soft landing—and the lower the risk of a hard landing. Conclusion It’s time for me to conclude. The COVID-19 pandemic has certainly brought its fair share of challenges to Canadian households, businesses and policy-makers.
While experience from Huh and K. J. Lansing, “Expectations, credibility, and disinflation in a small macroeconomic model,” Journal of Economics and Business 52, no.1–2 (2000): 51–86. 9 For more on this point, see P. Beaudry, T. J. Carter and A. Lahiri, “Looking Through Supply  Shocks versus Controlling Inflation Expectations: Understanding the Central Bank Dilemma,” Bank of Canada Staff Working Paper No.