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A Review of the Potential Impacts of the Métis Human Resources Development Agreements in Canada

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  • Andrew Sharpe

    ()

  • Jean-François Arsenault

    ()

Abstract

Since 1999, thousands of Métis have received training and found employment through Métis Human Resources Development Agreements (MHRDAs). We estimate MHRDA activities’ annual fiscal impact, which includes higher tax revenue,lower government transfers, mostly in the form of EI and social assistance, and lower health expenditures. Based on results from the 2007-2008 fiscal year, we estimate the annual fiscal impact of one year of activity to be between $4.2 and $47.9 million, with a higher probability associated to the lower-bound estimate than the upper-bound estimate.On a long-term basis, the discounted fiscal benefits outweigh program costs (about $49 million for one year of activity) in all cases but the one based on a the lower-bound estimate and highest discount rate. Our middle-bound estimate suggests annual fiscal benefits of $8.5 million, with long-term benefits reaching $103 million. Given that benefits from Métis training and employment encompass more than what is captured in this analysis, the return from the MHRDA for Canadian society appears to be well worth the investment.

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Bibliographic Info

Paper provided by Centre for the Study of Living Standards in its series CSLS Research Reports with number 2009-01.

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Date of creation: May 2009
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Handle: RePEc:sls:resrep:0901

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Keywords: Métis Human Resources Development Agreements; MHRDA; Métis; skills; human capital; government program; Aboriginal ; labour market;

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  1. Andrew Sharpe & Jean-François Arsenault & Alexander Murray & Sharon Qiao, 2008. "The Valuation of the Alberta Oil Sands," CSLS Research Reports 2008-07, Centre for the Study of Living Standards.
  2. Andrew Sharpe & Jean-François Arsenault & Fraser Cowan, 2009. "The Effect of Increasing Aboriginal Educational Attainment on the Labour Force, Output and the Fiscal Balance," CSLS Research Reports 2009-03, Centre for the Study of Living Standards.
  3. Romina Boarini & Hubert Strauss, 2007. "The Private Internal Rates of Return to Tertiary Education: New Estimates for 21 OECD Countries," OECD Economics Department Working Papers 591, OECD Publishing.
  4. Andrew Sharpe & Jean-Francois Arsenault & Simon Lapointe, 2007. "The Potential Contribution of Aboriginal Canadians to Labour Force, Employment, Productivity and Output Growth in Canada, 2001-2017," CSLS Research Reports 2007-04, Centre for the Study of Living Standards.
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