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Nine Hidden Costs to Immigration


___________________The Immense Cost of Canadian Immigration


The total system costs of inappropriate immigration are huge. There’s the following list of nine costs. Each one of them is extreme and could topple the government for mismanagement.


(1) Loss in family income to unemployment due to premature immigration, running at around 3.2% of GDP in Canada, circa 2005. That’s $45 billion a year. It’s a second monster deficit. In the 20 years to 2007 the cost would be at least half a trillion dollars.


(2) Unfunded social costs due to the additional millions of people. The population is about 6% in excess through immigration. This represents a mining of every social program in the country. Some of this government spending went on the deficit.


(3) Growth of low wage sector and attendant dependency on government and family.


(4) Suppression of wages at bottom by over supply of general labour.


(5) With upward growth people would have moved to better jobs and which is an opportunity cost to the people of immigration.


(6) Displacement of indigenous from skilled jobs by skilled immigrants and the opportunity cost that represents to the affected individuals. This includes the associated over investment in training cost and years wasted at school by students.


 (7) Soft employment. Involuntary part-time, marginal self-employment and underemployment of skilled labour absorb large numbers of people in the Canadian work force.


(8) Suppression of inter-provincial and intra-provincial migration to growth cities by unemployment in the potential destinations cities. Statistics show Canadians migrating to the best cities, based on the information they have.


 (9) Perpetuating the have not status of some provinces which resulted in transfers of billions of dollars in equalization payments.


The nine costs largely apply to any immigration country. It’s all a monumental blunder by economists. No one caught the government at it. I found this myself in Statistics Canada library working from their CDs. My analysis appeals to a broad coalition: to rich and to poor, to the various middle classes but also to the immigrant classes. It appeals to tired tax payers.