1 In my remarks today, I'll discuss the uncertainty inherent in monetary policy-making, and explain the strategies we at the Bank of Canada use to deal with that uncertainty.
I should emphasize that the uncertainty I'll be speaking about relates to the models, indicators, and data we use to conduct monetary policy, not to what we call "risks" to the economic outlook – that is, possible outcomes around our "base-case" projection. To make my remarks concrete, I'll refer to how we estimate the potential output of the economy.