Poloz’s response to a questioner that the Bank of Canada should only hike interest rates in response to this Canadian housing bubble because of financial stability concerns shows a willful ignorance of the target inflation indicator he just recently endorsed in the 2016 renewal agreement. The CPI replacement cost index, had an annual inflation rate of 4.0% in March 2017, and other owned accommodation expenses an inflation rate of 3.6%. The former series is conceptually based on new dwelling prices but in practice ignores apartment condos. The latter series includes depreciation on secondary homes and so is also conceptually based on new dwelling prices; it also includes components like real estate commissions and land transfer taxes that should but aren’t be measured using resale house price indices. Both series likely very badly underestimate the inflation rate for owner-occupied housing, even if one accepts the questionable approach adopted to measure it, as Poloz seems to.