Effect of monetary policy on productivity in Canada

It is now increasingly established that Central Banks exercise control over nominal and real magnitudes, in regimes where banks desire to hold zero reserves, not by altering the stock of reserves nor by fixing interest rates but rather by operating upon the spreads or the relative price of banking services. Central Banks always affect the price of banking services which are essentially the supply of liquid, and accessible-at-least-cost, intertemporal transactions services. Central Banks are always operating upon this real relative price so that the set of all relative prices cannot be ascertained independently of the activity of the monetary authorities. Just as Keynes argued we now must work 2 with a monetary theory of value.