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Bank of Canada/La Banque du Canada

Bank of Canada/La Banque du Canada: Origines et premieres annees/Origins and Early History

George S. Watts
edited by Thomas K. Rymes
Copyright Date: 1993
Pages: 270
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  • Book Info
    Bank of Canada/La Banque du Canada
    Book Description:

    Originally published in the Bank of Canada Review, these articles are valuable for anyone interested in the history, evolution and rationale of central banks, and the Bank of Canada in particular. Articles are in English and French.

    eISBN: 978-0-7735-7378-9
    Subjects: Finance

Table of Contents

  1. Front Matter
    (pp. i-iv)
  2. Table of Contents
    (pp. v-v)
  3. List of Illustrations
    (pp. vi-vi)
  4. Editor’s Preface
    (pp. vii-viii)
    Thomas K. Rymes
  5. Foreword
    (pp. ix-xii)
    Gerald K. Bouey

    Readers interested in the beginnings of central banking in Canada — especially the first two decades of the Bank of Canada (1935–1954) — are indebted to Mr. George Watts for this informed account.

    The book comprises seven articles which were published at intervals in the monthlyBank of Canada Reviewbetween May 1972 and January 1976. The preparation of the articles was related to the launching of the Bank’s newReviewbut, more important, it reflected the view that after almost 40 years of operation it was time to make a start on writing the history of the Bank. Given his...

  6. Biographical Note on George S. Watts
    (pp. xiii-xiv)
    Robert T. Price
  7. CHAPTER I The origins and background of central banking in Canada
    (pp. 1-12)

    The establishment of a central bank came comparatively late in the economic development of Canada. The Bank of Canada commenced operations on 11 March 1935. This was twenty-two years after the formation of the Federal Reserve System in the United States and somewhat later than establishment of, or the introduction of legislation for, central banks in other major countries in the British Commonwealth. Moreover, history shows that there was little serious interest in the question of a Canadian central bank prior to the late 1920s and that, although the onset of the depression in the early 1930s brought growing criticism...

  8. CHAPTER II The legislative birth of the Bank of Canada
    (pp. 13-26)

    The report of the Royal Commission on Banking and Currency in Canada recommending the establishment of a central bank, was delivered to the Government on 27 September 1933; a year and a half later the Bank of Canada was ready to commence operations. Before this could be achieved, a number of difficult and complex steps had to be taken. The recommendations of the Macmillan Commission had to be assessed from the point of view of preparing legislation that would provide for a central bank with the appropriate powers to operate effectively in the Canadian environment. Once a bill had been...

  9. Illustrations
    (pp. None)
  10. CHAPTER III The first phase of the Bank of Canada’s operations: 1935–39
    (pp. 27-42)

    The Bank of Canada opened its doors on 11 March 1935. During the first few years of operation, organizational and other internal matters necessarily absorbed a good deal of the attention of bank officials. It was also important that good working relations be established with the chartered banks at an early stage and, more generally, with the financial community, government departments and other central banks. In addition, considerable effort was made in these first few years to inform the public on the role of a central bank.

    Planning for the new institution began several months before its formal opening. As...

  11. CHAPTER IV The Bank of Canada during the war years
    (pp. 43-58)

    The 1939–45 war had a major impact on the Bank of Canada, coming as it did just over four years after the Bank opened its doors. There barely had been time for the Bank to settle into its routine operations and its broader central banking role when the outbreak of war abruptly interrupted its peacetime evolution. The war lasted almost six years and since Canada was not really on a peacetime footing in the year or two of the surrounding penumbra, there was a break of about eight years during which conditions were far from normal. Yet one cannot...

  12. CHAPTER V The Bank of Canada during the period of postwar adjustment
    (pp. 59-74)

    Although no very precise limits can be set, the interval of postwar adjustment, of demobilization and transfer of workers from wartime industries to peacetime occupations, of dismantling wartime controls and reconverting the economy to a peacetime basis is a clearly recognizable phase in the economic history of Canada and of the Bank of Canada. It had been clear for some time prior to June 1945 that the end of the war in Europe was approaching; not only was active planning for the postwar period well advanced but a number of initial steps towards a return to a peacetime basis had...

  13. CHAPTER VI The Bank of Canada from 1948 to 1952: The pivotal years
    (pp. 75-90)

    So far in this history of central banking in Canada, the intervals covered have represented fairly distinct phases, giving each chapter a natural cohesiveness. This is less true for the period to be covered in the remaining chapters. While there were important landmarks during these later years, they do not provide the central focus imparted by the epochal events of the earlier years. The interval chosen for this sixth chapter, stretches roughly from late 1948 through 1952 but these limits should not be regarded as hard and fast boundaries.

    In a sense, these years can be viewed as a pivotal...

  14. CHAPTER VII The Bank of Canada in 1953 and 1954: A further stage in the evolution of central banking in Canada
    (pp. 91-104)

    In many respects the problems and challenges that have confronted the Bank in more recent years have differed substantially from those it faced during the first two decades of its history. At the time the Bank began operations, the world economy was very slowly recovering from the severe depression of the early 1930s and the main aim was to encourage an upturn in activity. Within a few years, World War II had broken out and the need to maximize the war effort became the overriding consideration. The transition to a peacetime economy was accomplished relatively smoothly and rapidly but the...

  15. Index
    (pp. 105-112)