| Summary: | Improving economic outcomes for First Nations people in Canada is a national policy objective and, of course, a priority for First Nations (FN). Among the options are policies designed to improve education and health of the FN individuals. These may result in increased migration of Reserve residents to off-Reserve locations, often urban centres, with better employment and income prospects. At the Reserve level, there are programs and policies in place to encourage and support economic development on Reserves. Many Reserves are remote and with limited potential. A third channel by which economic outcomes for FNs may be improved is by commuting to off-Reserve employment while retaining their on-Reserve residence. Positive urban agglomeration spillovers in the form of employment opportunities for rural populations, and the resulting effect of this employment on the economic conditions of rural communities, are well established for the general population. This has not been investigated for Reserve populations. This paper examines the relationship between out-commuting from Reserves and Community Well-being of the FNs. We also estimate the incidence and determinants of off-Reserve employment by FNs. We find that distance from urban centres is negatively related to Community Well-being, as are population growth rates. Percentages of the population over the age of 15 and out-commuting rates from Reserves are positively associated with Community Well-being Scores. Out-commuting is, in turn, facilitated by better high school completion rates and negatively affected by distance. We conclude that improved access to off-Reserve employment for Reserve residents is an important means of improving the well-being of Reserve populations, and that a high school education is an asset
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