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The Effects of Modern Treaties and Opt-In Legislation on Household Incomes in Aboriginal Communities

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  • Krishna Pendakur

    (Simon Fraser University)

  • Ravi Pendakur

    (University of Ottawa)

Abstract

We use data from the Canadian Censuses (1991–2006) and National Household Survey (2011) to examine how household incomes vary across Aboriginal communities with and without modern agreements. These agreements include self-government, comprehensive land claims and opt-in legislation regarding financial and land management authority. Using a difference-in-difference regression methodology, we find that standalone comprehensive land claims agreements, both with and without associated self government agreements, are associated with income gains for Aboriginal households, primarily through increased labour income. Joint opt-in arrangements combining fiscal and land management authority are associated with smaller income gains. But, other agreement types are not associated with increased household incomes. We also find evidence of continued income growth for CLCAs in the medium term. Finally, we find that income gains—where they are found—are much larger for non-Aboriginal households than for Aboriginal households.

Suggested Citation

  • Krishna Pendakur & Ravi Pendakur, 2018. "The Effects of Modern Treaties and Opt-In Legislation on Household Incomes in Aboriginal Communities," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 137(1), pages 139-165, May.
    • Handle: RePEc:spr:soinre:v:137:y:2018:i:1:d:10.1007_s11205-017-1593-5
    DOI: 10.1007/s11205-017-1593-5
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    References listed on IDEAS

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    1. Donna L. Feir, 2016. "The long‐term effects of forcible assimilation policy: The case of Indian boarding schools," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 49(2), pages 433-480, May.
    2. Donna Feir, 2013. "Size, Structure, and Change: Exploring the Sources of Aboriginal Earnings Gaps in 1995 and 2005," Canadian Public Policy, University of Toronto Press, vol. 39(2), pages 309-334, June.
    3. Terry L. Anderson & Dominic P. Parker, 2008. "Sovereignty, Credible Commitments, and Economic Prosperity on American Indian Reservations," Journal of Law and Economics, University of Chicago Press, vol. 51(4), pages 641-666, November.
    4. Belayet Hossain & Laura Lamb, 2012. "The Impact of Human and Social Capital on Aboriginal Employment Income in Canada," Economic Papers, The Economic Society of Australia, vol. 31(4), pages 440-450, December.
    5. Marena Brinkhurst & Anke Kessler, 2013. "Land Management on First Nations Reserves: Lawful Possession and its Determinants," Discussion Papers dp13-04, Department of Economics, Simon Fraser University.
    6. Krishna Pendakur & Ravi Pendakur, 2011. "Aboriginal Income Disparity in Canada," Canadian Public Policy, University of Toronto Press, vol. 37(1), pages 61-83, March.
    7. Donna Feir, 2015. "The Intergenerational Effect of Forcible Assimilation Policy on Education," Department Discussion Papers 1501, Department of Economics, University of Victoria.
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    Cited by:

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    2. Donn. L. Feir & Maggie E. C. Jones & David Scoones, 2024. "When do nations tax? The adoption of property tax codes by First Nations in Canada," Public Choice, Springer, vol. 199(3), pages 285-318, June.

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