A majority of Canadians think that Canada is broken after years of stagnant incomes, affordability challenges, rising crime, government failures on basic functions like healthcare and immigration, and a deepening cultural malaise. But decline is a choice, and better public policies are needed to overcome Canada’s many challenges. Kickstart Canada brings together leading voices in academia, think tanks, and business to lay out an optimistic vision for Canada’s future, providing the policy ideas that governments need to ensure a bright future for all Canadians.
If you’re a regular at The Hub, you’ve no doubt tuned into the steady drumbeat of dismay over Canada’s economic backslide. Myself and fellow contributors have dissected this slow-motion unraveling in excruciating detail, revealing a stark decline in our living standards—a decline that young Canadians are bearing the brunt of. Canadian youth are experiencing what might be called a “milestone recession,” where traditional rites of passage like securing a job, finding financial footing, buying a house, or starting a family are morphing from tangible goals into the stuff of folklore. It’s no mystery why they report being so unhappy. Many are giving up on Canada.
Amid this backdrop, our young are choosing to move, trading the familiar streets of Toronto and Vancouver for more affordable locales, or seeking opportunities across the border in record numbers. This wave of departure should also be a wake-up call for patriotic fervour, because this brain drain means we are needlessly losing our future.
Every one of Canada’s challenges is surmountable; behind our immediate hardships lies a nation brimming with potential. Young Canadians should not let dissatisfaction give way to cynicism, but instead let it fuel a resolve to make things better. This country needs our patriotism, energy, and vision now more than ever. The next generation has the unique opportunity to transform frustration into action—to rebuild and redefine Canada for a prosperous future.
There’s no place like home
Canada could have it all—it has every reason to be the best place to live on earth. Our problems are big, but they pale in comparison to our opportunities. With numerous advantages at our disposal, now is not the time to give up on Canada.
Canada stands out on the global stage, boasting a plethora of advantages that position it uniquely among developed countries. Geographically, we are a massive fortress, bordered by three oceans and share the world’s longest undefended border with the United States offering unmatched security and stability.
Economically, Canada enjoys a solid fiscal foundation, with a pension system that is largely funded and sustainable, unlike the burdensome obligations that will weigh down many peer nations in the decades ahead. Rich in natural resources, our country holds more than a quarter of the world’s freshwater and expanses of arable land, placing us in an enviable position as the world adapts to climate change.
Furthermore, Canada’s population ranks among the most educated globally, with a workforce known for its high human capital. This is complemented by a liberal, open-minded culture that welcomes diversity, champions free expression, and respects individual rights. These attributes cushion Canada against many of the economic and social challenges facing other regions but also provide a platform for innovation industries to drive unparalleled growth and prosperity in an increasingly complex world.
Canada’s economic self-sabotage All of these advantages make Canada’s economic stagnation shocking. This is because many of our problems are not caused by external factors but are instead self-inflicted wounds. While America’s record stimulus through deficit spending should have propelled Canadian growth, we are hamstrung by an unprecedented surge in population alongside a regulatory environment steeped in bureaucracy and oligopoly-driven regulatory capture. Complex land use restrictions and sluggish permitting processes make building infrastructure here costly and slow, while politicians exacerbate a housing crisis with policies that boost demand but strangle supply through restrictive zoning and heavy taxes. Canada’s public services, once a source of national pride, now struggle to deliver value despite inflating payrolls. Infrastructure projects within our borders often cost three to five times more than comparable projects in countries like France. Similarly, the bureaucratic bloat in health care is striking, with over 10 times the number of administrators relative to population than in nations like Germany. This surge in bureaucracy signals a shift from a focus on public service to serving itself, suggesting that Canada’s administrative systems have strayed far from their fundamental mandate to serve the public good. This inefficiency has been exacerbated by a radical overhaul of immigration policy by the Trudeau Liberals. A longstanding consensus that maintained annual population growth at about one percent through the intake of highly skilled and educated immigrants has now been replaced with a strategy prioritizing temporary, lower-skilled workers. In 2023, population growth spiked to over 3.2 percent, rivaling only countries in sub-Saharan Africa, fueled by a jaw-dropping increase of 800,000 temporary residents. This shift has increased their representation from less than three percent to over seven percent of the total population in less than five years. This rapid growth hinders their integration into Canadian culture and creates fertile ground for their exploitation by fraudsters and large corporations while undermining the economic leverage of low-income and young Canadians in need of work. Our problems can be solved—and quicker than you think As these issues converge—a broken immigration system, a burgeoning housing crisis, and the dwindling capacity of state agencies to deliver essential services and infrastructure—it becomes clear that these are interconnected symptoms of a systemic Canadian disease. The good news, however, is that each of these problems is solvable. With concerted effort and real reforms, solutions can be implemented faster than most people might think. Approaching these remedies with urgency and optimism is essential. Canada must start by overhauling its immigration system to prioritize long-term benefits and cultural integration. We must return to the pre-2015 consensus, capping annual permanent resident increases near one percent of Canada’s population and prioritizing high-skilled immigrants and young families who can positively contribute to the nation’s cultural and economic landscape. Additionally, we must drastically reduce the number of temporary residents, currently sitting at over 2.5 million, by reforming student visas and temporary worker programs like the Labour Market Impact Assessment, which employers complete to prove their vacancies can only be filled by foreign workers. This reduction should aim to decrease temporary residents by 1.5 million people by 2030, bringing their proportion back to under three percent of the population. This will reduce net population growth to near-zero in the coming years, giving time for incomes, infrastructure, and housing to catch up while easing pressure on rents. To uphold the principles that define us, Canada must ensure that permanent immigrants are diverse in origin but united in purpose—committed to the values of democracy, liberal social rights, and secular governance. By implementing a 20 percent cap on immigrants from any single country and rigorously ensuring that all newcomers embrace these foundational values, the fabric of our society can be strengthened, making sure that immigration creates new Canadians that enrich our national identity. Adopting a “pro-housing agenda” would be a bold statement of confidence in Canada’s future. To solve the housing crisis, it’s essential to recognize that taxes on new builds are nearly as high as what Canadians can afford for a mortgage, and lower them. Provinces must streamline land use policies to make it easier to redevelop existing property and make new land available. Mirroring Europe’s less restrictive building codes could unleash a wave of construction, innovation, and productivity. Furthermore, while it is essential for governments to use their land effectively to provide public or non-market housing for the poor and working class, they should otherwise allow the private housing market to flourish with far less interference. A commitment to liberal property rights and development isn’t just about solving a crisis—it’s about powering economic growth and expanding opportunities so that a hopeful, house-rich future for Canada is constructed. Building on housing reforms, broader regulatory reforms, and bolstering state capacity to sustain long-term growth is essential. My colleague Stephen Staley has compellingly argued for broad deregulation to dismantle the oligopolistic shackles on our economy to reduce bureaucracy, as well as drive competition, capital investment, and productivity, as I too have in the past. Finally, Canada urgently needs to strengthen its infrastructure development by embracing models proven in countries like France and Spain, alongside a move to independent governance practices from institutions like the Canadian Pension Plan. This would involve cultivating strong in-house expertise to manage projects more effectively, ensuring consistency, reducing costs through scale, and minimizing risks by distributing them across multiple projects. Such a model would also shield the planning and execution phases from political interference and reduce the soft corruption often seen in extensive outsourcing and subcontracting. The ultimate aim is to deliver more and better infrastructure per dollar spent, progressively enhancing the quality of public services and improving living standards. A country that aims for gold These solutions are an indictment of past missteps but also a clarion call for the transformation needed to reclaim the promise of Canada. A resolute shift in immigration policy, a bold reimagining of the housing system, dedication to oligopoly-busting deregulation, and comprehensive investments in state capacity can together reconstruct the foundations of our prosperity. Canada’s current stagnation is a betrayal of its potential—a potential palpable in every corner of this vast, resource-rich, and culturally diverse country. The solutions are within reach. They demand action that is as urgent as it is thoughtful. It is time to move beyond the comfort of complacency and build a culture that aims for gold, not bronze. Young Canadians stand at a crossroads with a once-a-generation chance to shape their future. It’s time to rekindle a fierce patriotism and hold leaders—especially those who align with your values—accountable. By championing clear solutions and demanding systemic changes that will lay the groundwork for lasting prosperity, young Canadians can transform cynicism into success. The moment to act is now—it’s time for patriots to build a Canada that truly lives up to its potential.
Eric Lombardi stands at the forefront of urban development and advocacy as the founder and president of More Neighbours Toronto, a volunteer organization committed to ending the housing crisis. Professionally, he specializes in strategy management consulting in the finance and technology sectors.
