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Does the lucky country need migrants? : Comments
By Bob Birrell, published 3/8/2010Metropolitan areas are not coping with the recent influx, so why encourage more arrivals?
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David Jennings asserts that he would wreck the economy, but the 2006 Productivity Commission report modelled the effect of doubling skilled migration (see p. 151). They found a trivial per capita benefit, with average income per hour worked actually falling.
http://www.pc.gov.au/__data/assets/pdf_file/0006/9438/migrationandpopulation.pdf
This is consistent with the 2008 House of Lords report in the UK and the 1997 American Academy of Sciences report. The elite want mass migration because the bigger overall economy and the distributional effects will make them richer, not because it is in all our interests.
Runner asserts that we have plenty of water for a larger population. If that is the case, why is there so much conflict over it in rural areas? The Murray Darling Basin (MDB) is responsible for 40% of our agricultural production.
"Consumptive water use across the MDB has reduced average annual streamflow at the Murray mouth by 61 per cent", according to the CSIRO 2008 Sustainable Yields report. Of course a much higher proportion is taken in a drought year.
http://www.csiro.au/files/files/pna0.pdf
In the cities, desalinated water costs 4-6 times as much as dam water and is a prodigious consumer of electricity. There is no way that the politicians would even consider it if the cities hadn't outgrown their natural water supplies. Utility bills have gone up by 50% in the past 3 years, and that is just the beginning.
The price of a median house went from 3.3 years of the median wage in 1970 to 7.4 years in 2005, and considerably more in the metropolitan areas.
http://www.findem.com.au/factsheets/housingfactsheet.pdf
Runner wants to blame it on young people wanting to have it all, but the major cause of the increase is the cost of residential land (from 30% of the price to 70-80% in the cities, even though block sizes are much smaller). In my community, those small workingmen's houses that were built in the 1950s and 60s are still occupied. They just cost a lot more in real terms