Reflection Assignment Example | Topics and Well Written Essays - 250 words - 13

Reflection - Assignment Example This would affect the economical development with the abandonment of some services. Austerity measures applied by the administration because of the increasing aging population would cause diminution in the living standards. Labor supply would get affected negatively by causing skilled employees numbers to drop causing exceptional hike in the cost of labor. Lower savings would negatively affect the actual Gross Domestic Product. The lower saving would be because of reduced savings attributable to the high numbers of retirees, who would not be saving anymore. The Canadian physical capital stock would also extensively reduce because of the reduced savings that would create a diminishing impact on real capital per head. Increased immigration in Canada helps in balancing the effects of the increasing dependency ratio by supplying skilled economic skills to the Canadian economy. However, it is worth to note that increased immigration of skilled workers does not necessarily imply economic growth and development. The effects of immigrant workers are largely neutral on the economic performance. On the flipside, increasing numbers of immigrants cause pressure on the government for provision of basic services such as housing and other administrative services. These pressures may negatively affect the government and spills to the economic performance. Canadas Aging Population May Create $67-Billion Annual Budget Hole: Study. (n.d.). Retrieved November 29, 2014, from