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This just in from economists Domenico Lombardi and Pierre Siklos: The Bank of Canada, “might, at times, have trouble communicating the timing of the return to more ‘normal’ monetary policy, but exit will be implemented through standard measures accomplished by tightening the policy rate.”

Mr. Lombardi, director of the global economy program at the Centre for International Governance Innovation (CIGI), and Prof. Siklos, a senior fellow at the centre who also teaches economics at Wilfrid Laurier University, make that prediction in Crisis and Reform: Canada and the International Financial System, a collection of essays related to the financial crisis that CIGI published this week.

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