Poverty Dynamics among Recent Immigrants to Canada

Abstract

This paper examines two issues: (1) poverty dynamics among successive cohorts of entering immigrants to Canada, and (2) whether rising educational attainment and increasing share in the “skilled” class since the early 1990s has resulted in improvements in poverty entry, exit, and chronic poverty. The entry to poverty is very high during the first year in Canada, but low in subsequent years. The dramatic move toward more labor-market friendly characteristics of entering immigrants had only a very small effect on poverty outcomes, in part because the relative advantage of holding a degree diminished, and “skilled economic” class immigrants were more likely to enter poverty than their “family” class counterparts.