Immigration And Economics Essay, Research Paper

Population changes continuously over the past in the Canada. There is two type

of changing in population. One of them is the natural increase since the New

France is become the colony in 1665. The other type is immigration from or

emigration to other countries. People immigrate to Canada because there is an

advantaged condition than their own country to induce them. Canada has fertility

natural resources that are fur, fishery and timber. In the earliest of Canada

prior to 1850, agriculture is the main sector that is about 60% in the Canada.

However, in the late nineteenth century, the natural resource of the timber is

declined. Besides, the growing up of the industrial development such as irons

and steel. Many immigrants move to Canada lead the real wages to fell, then many

Canadian move to United States. After the First World War, there is a wheat boom

on that period, which attract more people to come to Canada. The demand for the

manufacturing goods that relates to the wheat is increase after the war;

therefore, it also contributes to the development of the industrial. In this

period, the development is not stimulate by the natural resources, but the

political revolution, new technical, and the open of the new market. The

immigration is relevant to the economic and political problems in Canada.

Therefore, the changes of the population can be contributed to the economic

activity. The different patterns of living styles and behavior from the

immigrants also influenced the economic development. Therefore, it is important

of population changes. There was a brain drain to the United States between

1881- 1901. The net immigration between this period is negative that means the

emigration from Canada is so high although the immigration is high. Although,

there are some skilled labors immigrate to United States, the high immigration

also increased the labors supply with lower wages than domestic labors. The

immigration also one of the factor of developing of the economic in the Canada.

In the period of 1881- 1901, the primary sector of agriculture continuously

declined because the exploited of the natural resource such as timber that is

the agriculture product was declined. The demand for labor force of agriculture

is decreased, therefore the unemployment rate is increased. The important of

agriculture has continuously declined, but the non- agriculture employment that

associated with urbanization has increased. The labor flowed to the

manufacturing and tertiary sector that are growing. Besides, the immigration

continuously increases, the lack of opportunity in the home country tend to

immigrate to United States that have. Since the immigrants increased the labor

supply, but the demand of the labor is slowly. Therefore, the real wages in

Canada fell. The immigrants often work for lower wages than the native born

Canadians. Besides, the demand for the skilled labor in U.S. is increased

rapidly, so there would be a different in real wages between U.S. and Canada.

The real wages in U.S. is higher than Canada. This induced native-born Canadian

to move to United States. Since the urbanization is grew up, many agriculture

labors move to urban United States. And the transportation is more convenience.

In the period of 1881-91, the immigration from other country is so high which is

about 903 thousands, but the emigration is also high which is about 1,108

thousands. Therefore, the net immigration is negative. In the period of 1890-

1900, the Canadian- born live in the U.S. is about 1.6% that is the higher.

However, the net immigration is positive since the wheat boom in 1900s. Because

of attracting of net return of the new element, many immigrate was induced to

Canada. There is a relative between population changes and the economic growth.

Although the immigrants deplete the employment opportunity to the native- born

Canadian, it brings tangible savings to Canada. They push the labor market

opportunity at Canada. The immigration can be examined of the production,

consumption and economy-of-scale effects. First of all, the immigrants can

satisfy the shortages in the labor market. Although the demand of the

agriculture is declined, but other sector such as manufacturing is increased in

need of labor. The expansion of the industries leads to create new job

opportunity. Besides, the immigrants would invest their capital to the

industries, it also provides some new job opportunity. Then, the immigrants may

also have different expenditure patterns to the native-born Canadian. The

greater demand of goods and service is also stimulate the growth of

manufacturing. Immigration is also an important condition for viewing the

population change. It can be indicate that the social and economic changes, then

it can improve our living style and conditions. And it can also influence the

growth potential of the country. From the Census 1971, it shows that about 2/3

of the labor force came from the net immigration. They are the one of the

factors of the economic growth.

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Marr, William L and Paterson, Donald G. 1980. Canada: An Economic History.

Gage, Toronto. Pomfret, Richard. 1948. The economic development of Canada.

Ontario: Methuen Publication. Stone, Leroy O. 1961. Migration in Canada: 1961

Census Monographs. Ottawa. Watkins, M.H. and Grant H.M.1993. Canadian Economic

History, Classic and Contemporary. Carleton University Press, Ottawa.