Immigrants – Zero Affect on Economy


A Canadian Customs and Immigration service sign

By Patrick Grady


This paper reviews some of the key facts about productivity. And it notes that immigration is never mentioned as a factor tending to depress productivity. It then goes on to apply the methodology of growth accounting to calculate an estimate of the impact of recent immigration on productivity. This in turn calls into question the wisdom of the Government’s immigration policies as part of any evidenced-based strategy to improve the living standards of Canadians.


Productivity growth in Canada has increasingly been falling behind that in the United States. While GDP per worker in current US dollars is not the best measure of productivity as it incorporates inflation as well as real increase in output, it is often used for purposes of comparison. By this measure, the productivity gap between Canada and the United States, after remaining relatively stable for decades up…

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