Thank you, Governor and Senior Deputy Governor.
I have a few questions about the causes of inflation. Clearly, some would prefer to oversimplify a problem as complex as inflation, but as you made clear, inflation is a global phenomenon. I had a look at the latest figures, and Canada's inflation rate of 6.7% is nevertheless below the OECD average of 7.7%, the G20 average of 6.8% and the euro zone average of 7.3%.
I want to commend you. In your recent monetary policy report, you do an excellent job of summarizing the domestic and global determinants of inflation, specifically in box 4 on page 17. Now, no one can oversimplify the causes of inflation, with the very clear overview you have provided.
In particular, you mention homeowners' replacement costs. The committee actually studied inflation in the housing sector, among other things.
Can you talk more about that?