Advanced Search
MyIDEAS: Login

Closing the 49th Parallel: An Unexplored Episode in Canadian Economic and Political History

Contents:

Author Info

Abstract

We draw attention to, and begin to consider the implications of the severe restrictions on emigration by Canadians to the United States introduced under the U.S. Immigration Act of 1965. These restrictions came into effect in 1968 and lasted until mobility began to increase under the free trade agreements in the early 1990's. This is an unusual episode in Canadian history, one whose implications for public policy have received little attention. The near closing of the border during this period likely led to a decrease in the elasticity of labour supply in Canada. We derive the implications of such a change in a competitive political model where the political costs and benefits of levying taxes on different activities are distinguished. Increased reliance on, and changes in the structure of, labour income taxes, and an increase in the size of the public sector are predicted. We show that these predictions are consistent with what occurred over the two decades after the near closing of the U.S. border.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://economics.uwo.ca/epri/workingpapers_docs/wp2008/Davies_Winer_03.pdf
Download Restriction: no

Bibliographic Info

Paper provided by University of Western Ontario, Economic Policy Research Institute in its series University of Western Ontario, Economic Policy Research Institute Working Papers with number 20083.

as in new window
Length:
Date of creation: 2008
Date of revision:
Handle: RePEc:uwo:epuwoc:20083

Contact details of provider:
Postal: Economic Policy Research Institute, Social Science Centre, University of Western Ontario, London, Ontario, Canada N6A 5C2
Phone: 519-661-2111 Ext.85244
Web page: http://economics.uwo.ca/research/research_papers/epri_workingpapers.html

Related research

Keywords:

Other versions of this item:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Ferris, J.S. & Park, S. & Winer, S.L., 2007. "Studying the Role of Political Competition in the Evolution of Government Size Over Long Horizons," Cambridge Working Papers in Economics 0774, Faculty of Economics, University of Cambridge.
  2. Stanley Winer & Michael Tofias & Bernard Grofman & John Aldrich, 2008. "Trending economic factors and the structure of Congress in the growth of government, 1930–2002," Public Choice, Springer, vol. 135(3), pages 415-448, June.
  3. Toke Aidt & Peter Jensen, 2009. "Tax structure, size of government, and the extension of the voting franchise in Western Europe, 1860–1938," International Tax and Public Finance, Springer, vol. 16(3), pages 362-394, June.
  4. Wildasin, David, 2003. "Fiscal Policy, Human Capital, and Canada-US Labor Market Integration," IZA Discussion Papers 889, Institute for the Study of Labor (IZA).
  5. Saikkonen, Pentti, 1991. "Asymptotically Efficient Estimation of Cointegration Regressions," Econometric Theory, Cambridge University Press, vol. 7(01), pages 1-21, March.
  6. Tridimas, George & Winer, Stanley L., 2005. "The political economy of government size," European Journal of Political Economy, Elsevier, vol. 21(3), pages 643-666, September.
  7. MacKinnon, James G, 1996. "Numerical Distribution Functions for Unit Root and Cointegration Tests," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 11(6), pages 601-18, Nov.-Dec..
  8. James B. Davies & Junsen Zhang, 1996. "Measuring Marginal Income Tax Rates for Individuals in Canada: Averages and Distributions over Time," Canadian Journal of Economics, Canadian Economics Association, vol. 29(4), pages 959-75, November.
  9. Emmanuel Saez & Michael R. Veall, 2005. "The Evolution of High Incomes in Northern America: Lessons from Canadian Evidence," American Economic Review, American Economic Association, vol. 95(3), pages 831-849, June.
  10. Dennis Mueller, 1998. "Constitutional Constraints on Governments in a Global Economy," Constitutional Political Economy, Springer, vol. 9(3), pages 171-186, September.
Full references (including those not matched with items on IDEAS)

Citations

Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Exit!
    by Eric Crampton in Offsetting Behaviour on 2011-10-07 18:00:00
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Osberg, Lars, 2013. "Instability implications of increasing inequality: Evidence from North America," Economic Modelling, Elsevier, vol. 35(C), pages 918-930.
  2. Giuranno, Michele G. & Rongili, Biswas, 2012. "Inter-jurisdictional migration and the size of government," MPRA Paper 42604, University Library of Munich, Germany.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:uwo:epuwoc:20083. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.