Program Overview

ECO 4195 The Art and Science of Monetary Policy-Making in Canada

The course offers students an experiential learning opportunity to understand the monetary policy-making process at the Bank of Canada. Students will prepare to play the role of advisors to the Bank's Governing Council and participate in the Governor's Challenge, a competition for university students in Canada. By the end of the course, students will deepen their knowledge of advanced macroeconomic theory and develop a better understanding of the Canadian economy. They will also acquire valuable skills in analysis, presentation, teamwork, and persuasion that will be useful throughout their academic and professional careers.

Course Description

The course will begin with an introduction to the decision-making process at the Bank of Canada. Students will learn about the Bank's organizational structure, the objectives and tools of Canadian monetary policy, the main channels through which monetary policy affects the Canadian economy, and the influence of economic data on monetary policy decisions. Then, students will apply their skills and knowledge in a simulated environment that mimics the Bank's decision-making process. They will analyze and forecast Canadian and international macroeconomic conditions to formulate a recommendation on the conduct of Canadian monetary policy. The recommendation will explain whether the Bank of Canada should raise, lower, or leave unchanged its policy interest rate to maintain low and stable inflation.

Team Presentation

A team of students enrolled in the course will present their monetary policy recommendation to a Bank of Canada jury during the first round of the Governor's Challenge in November. If selected, the team will participate in the final round, which will take place at the Bank's headquarters in Ottawa.

Admission Requirements

To be eligible for the course, candidates must:

• Be enrolled full-time at the University of Ottawa in a bachelor's degree program
• Have a cumulative grade point average (CGPA) of 6.0 or higher
• Possess a very good command of English
• Have successfully completed ECO 2142 and ECO 2151, or their equivalents, before the fall 2025 semester

It is highly desirable to have a strong background in advanced macroeconomic theory, monetary theory, econometrics, and financial econometrics. Good presentation skills will also be considered an asset.

Application and Selection Process

Students interested in the course are encouraged to submit their application as soon as possible, but no later than August 29, 2025. The selection will be based on relevant experience and knowledge that can contribute to the success of the Governor's Challenge competition. Applications will be reviewed, and admissions will be made on a rolling basis throughout the summer. All applicants will be informed of their admission decision no later than September 1, 2025.

Important Dates

• August 29, 2025: Application deadline
• September 1, 2025: Admission decision
• November 2025: First round of the Governor's Challenge (to be confirmed)
• Winter 2026: National round (for finalist teams)