) actions would be taken in as broad and neutral a manner as possible. ( iv ) the bank would act prudently, mitigating the risks to its balance sheet and managing its ultimate exit from such strategies at an appropriately measured pace. • if we were to use these unconventional policy measures, the bank would closely monitor a number of indicators to assess their effectiveness. • the most important would be the effect on overall financing conditions faced by households and businesses. • other indicators would be used to judge the direct impact of a particular instrument. for example : o the effectiveness of conditional statements about the future policy rate can be judged by their impact on longer - term interest rates. as i mentioned a moment ago, we saw almost immediately the impact of our 21 april policy interest rate announcement. o the effectiveness of quantitative easing would be judged in the first instance by a change in the yield curve and more generally by movements in broader financial conditions. o that of credit easing would be judged by reductions in risky spreads and increased issuance activity. o changes in credit terms and in the conditions faced by firms can also be assessed using the bank's business outlook survey and its senior loan officer survey. o in addition, the bank has constructed measures of borrowing costs and an overall financial conditions index for the economy. • to enhance transparency, the bank now offers a comprehensive website that details credit conditions in canada. the link can be found on the left side of our home page. • the unwinding of the bank's various facilities and its acquisition of assets – or the exit strategy – would be guided by the bank's assessment of conditions in credit markets and the inflation outlook. • a number of exit alternatives are available, including a natural runoff through the maturing of assets, the refinancing of acquired assets, and asset sales. • finally, the framework also describes how the bank would communicate its use of unconventional policy measures. press releases on each fixed announcement date would remain focused on the target overnight rate and on conditional statements about the future direction of policy rates. • the press release would also indicate any intention to carry out purchase programs and the approximate size of purchases. the bank would explain the broad objectives of any purchases and how they are to be financed. detailed operational decisions would be communicated in separate announcements. • press releases on fixed announcement dates and monetary policy reports would continue to provide an ongoing assessment of the economy and the outlook for inflation. speeches and parliamentary appearances, such as this one, would

cycles the technology was diffused over a prolonged period, so the labour force had time to adjust. but this time adoption may happen much faster, creating more disruption and a loss of livelihoods that will be difficult to replace. so far, we don ’ t have much evidence that labour is being displaced by ai at rates that would lead to declines in total employment. if anything, digitalization — and the commercialization of ai — have likely been net job creators in canada. employment in computer systems design and related services, which is a proxy for digitalization, has risen 48 % since the end of 2019, compared with a 6 % increase in employment for the rest of the economy. this recent growth builds on an existing trend — while overall employment is up 17 % over the past decade, employment in the digitalization - related segment has more than doubled. but we know there are probably more profound effects to come. as ai becomes more established in the economy and its impacts more transformative, it could end up destroying more jobs than it creates. and the people who lose their work to automation may struggle to find new opportunities. this is a concern for us all. understanding and shaping the labour market impacts will be increasingly important as ai continues to advance and diffuse through our economies. price - setting behaviour in addition to productivity and the labour market, ai may also affect how businesses set prices. there is already evidence that digitally intensive firms change prices more frequently than less digitally intensive firms. 8 for us central bankers, this means the phillips curve might be steeper than previously thought. 9 when combined with a more shock - prone world, this suggests inflation could be more volatile than it was in the 25 years before the pandemic. ai could also affect the level of competition in the economy, although its impact is ambiguous. initially, ai - intensive start - ups could seize market share by undercutting incumbents. this would increase competition and lower prices. however, ai could also result in markets dominated by a handful of companies with monopoly power. in this scenario, ai would ultimately lead to less competition and higher prices. the monopoly effect is easy to imagine, with several superstar firms already dominating their sectors. fortunately, we have competition authorities to deal with undue market power. but authorities will need to keep pace. all this means central banks need to be closely attuned to how ai is affecting inflation, both indirectly through overall demand and supply and directly through price - setting behaviour. ai and central banks