Research

Small and medium-sized enterprises incur disproportionately high compliance costs under the current Goods and Services Tax/Harmonized Sales Tax (GST/HST) reporting system. To reduce these costs, some EU and Latin American countries have successfully adopted prefilled tax return systems supported by national e-invoicing infrastructures. Canada has not yet adopted this innovation. This study estimates the economic welfare improvement that would result if Canada were to implement a system of prefilled GST/HST returns. An integrated financial, economic, and stakeholder cost-benefit analysis is…

Many models of the CEO market build on the classic analyses of Lucas (1978) and Rosen (1982) characterized by full information, a limited role for firm-specific human capital, and efficient allocation of workers across jobs and firms. But empirical evidence is not consistent with this approach. We explore an alternative focused on asymmetry of information between an executive's prospective employer and other potential employers, and an important role for firm-specific human capital. We show that our model better captures findings in the empirical literature concerning the CEO labor market…

Immigrants tend to have substantially worse labour market outcomes than Canadian-born workers. This paper provides an overview of immigrants in the Canadian labour market, describing the key barriers that can arise when changing cultures and labour markets and that can hinder immigrants from realizing their economic potential. It then summarizes the efforts Canada has made to alleviate these barriers and highlights some persistent challenges going forward, such as the current state of foreign credential recognition (FCR) and cautioning against the rise of the two-step immigration scheme.…

Within the Frequentist Model Averaging framework for linear models, we introduce a multi-objective model averaging methodology that extends both the generalized Jackknife Model Averaging (JMA) and the Mallows Model Averaging (MMA) criteria. Our approach constructs estimators based on stochastic dominance principles and explores averaging methods that minimize multiple scalarizations of the joint criterion integrating MMA and JMA. Additionally, we propose an estimator that can be interpreted as a Nash bargaining solution between the competing scalar criteria. We establish the asymptotic…