These have been explored in two recent papers by Bank staff: one coauthored with Steve Ambler – the outgoing Special Adviser at the Bank of Canada 5 – the  2  Bank of Canada. Renewal of the Inflation-Control Target: Background Information (Ottawa: Bank of Canada. 2006).
The COVID turmoil underscores the importance of ensuring the financial system is resilient to a wide  - 13 range of shocks, including those emanating from outside the financial system. Regulators and international standard-setting bodies have an opportunity to draw important lessons from the COVID shock about where fragilities remain, such as in prime MMFs and other vehicles with structural funding risk.