Tag Archives: ageing population

Immigration imposes a large net cost, and should be reduced

[I’ve posted on this before, but the issue keeps coming up.]

Jane O’Sullivan https://theconversation.com/profiles/jane-osullivan-1809

The dramatic drop in immigration because of the Covid-19 closure of our borders is causing concern among advocates of a high immigration rate, who claim it is essential to the economy. But there is a widely-overlooked and very large cost.

Discussing immigration in Australia is fraught, with any questioning of policy likely to generate outrage and to be labelled racist, populist, nationalist and an assault on Australia’s economy. All of that has followed Labor spokesperson Kristina Keneally’s rather mild suggestion that total numbers of immigrants ought to be lowered after the coronavirus shutdown, especially of temporary immigrants.

The rather hysterical response is partly just over-reaction, partly confected by those who support massive immigration, and partly reflecting common economic furphies.

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Immigration debate: the menagerie in the living room

 

Many assertions are being made about Australia’s rates of immigration and population growth, but it’s hard to find a coherent discussion of the issue. There’s not just an elephant but a menagerie of ignored creatures lurking around the living room.

The elephant in the middle of the room is the cost to society of ‘durable assets’ for each new person, imported or home-grown. Durable assets include not just infrastructure like roads, trains, water and electricity but houses, shops and schools. That cost is sensibly estimated by sustainability researcher Jane O’Sullivan to be around $500,000 per person. Some of that cost is public, borne by governments, and some is borne by the private sector.

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