Canada's New Immigration Policies 2016: Good Politics, Bad for the Country

11 Pages Posted: 5 May 2016 Last revised: 10 Dec 2017

Herbert Grubel

Simon Fraser University (SFU) - Department of Economics; The Fraser Institute

Date Written: May 4, 2016


Canada’s Liberal government elected in 2015 adopted new immigration policies, the economic and social implications of which are examined in the light of a number of recent studies that analyze the fiscal, economic and social costs and risks stemming from the previously existing immigration policies. The new policies appear designed to buy more votes of the immigrant community but clearly impose high fiscal costs and increase risks of social stability and economic security on all Canadians. The paper examines the traditional claims about the benefits brought by immigrants and finds them invalid in current circumstances. The reasons include the costs of our welfare state caused by the low earnings and taxes paid by recent immigrants that are increased further by the proposed larger number of annual immigrants. The paper concludes with the call for an open discussion of the benefits and costs of present immigration policies to properly inform the public of their short and long term consequences for Canada.

Keywords: Canada Immigration Policies, Benefits, Economic and Social Costs

JEL Classification: H24, J61

Suggested Citation

Grubel, Herbert, Canada's New Immigration Policies 2016: Good Politics, Bad for the Country (May 4, 2016). Available at SSRN: or

Herbert Grubel (Contact Author)

Simon Fraser University (SFU) - Department of Economics ( email )

8888 University Drive
Burnaby, British Columbia V5A 1S6

The Fraser Institute

1770 Burrard Street
4th Floor
Vancouver, British Columbia V6J 3G7

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