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Birth rates are falling in the Nordics. Are natalist policies no longer enough?

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Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#61

Earlier quoted context omitted.

Green is disposable income, orange is cost of apartment housing: https://2.bp.blogspot.com/-tonEuOE0IXE/WfpBpIzy8rI/AAAAAAAAF...

So what? Is not disposable income what's left over after you pay your mandatory expenses, like housing? If real disposable income is rising, then people have more access to non necessary resources than they did before. So, they have more wealth, but are having fewer babies, which is the general trend.

> Is not disposable income what's left over after you pay your mandatory expenses, like housing?

No, it’s what’s left after taxes, before any actual spending on things like housing occurs.

> Gross disposable household income is the amount of money that individuals in the household sector can spend or save after income distribution measures.

https://www.ons.gov.uk/economy/regionalaccounts/grossdisposa...

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#62

Earlier quoted context omitted.

Green is disposable income, orange is cost of apartment housing: https://2.bp.blogspot.com/-tonEuOE0IXE/WfpBpIzy8rI/AAAAAAAAF...

So what? Is not disposable income what's left over after you pay your mandatory expenses, like housing? If real disposable income is rising, then people have more access to non necessary resources than they did before. So, they have more wealth, but are having fewer babies, which is the general trend.

Housing isn't mandatory - the government doesn't put you in jail if you don't pay it; you just get evicted. Disposable income is basically just income minus required taxes.

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#63
Every time fertility decline comes up I consistently see the same arguments about why fertility is declining: people are just not comfortable enough to want to have children. I just don’t buy this.

I have seen reasons like workspace discrimination, lack of parental leave, economic uncertainty and poverty in general used as reasons why young adults are not choosing to have children and it doesn’t quite make sense to me. Objectively along all those axis, societies have improved with time from the early 1900s and the birth rate keeps falling. Can someone help me understand why European countries keep trying to increase the comfort of their population expecting to increase birth rates? I understand social programs with payouts can be popular and perhaps paying to solve the problem is appealing to the population but I don’t see why we would expect those policies to actually increase fertility. I would understand if this was simply a case of government programs that people like even if they don’t achieve the desired outcome.

I think a much simpler microeconomic analysis explains the decline in fertility: opportunity cost. People in child-bearing age have too much other stuff with a larger expected payout than having children. For example, a lot of people might prefer to work hard to improve their socioeconomic situation or travel the word over raising children. Under this model, more government provided comfort won’t increase fertility because the vast amount of costs in child bearing comes from the opportunity cost. Even in a world without parental discrimination I would find it hard to argue that parents should automatically be promoted in their work but that may actually be the more significant cost. A parent may forgo promotion or other gains for parenting.

I am not sure what a better solution this problem is. We probably need to reframe childbearing in a different way through so that having children is not subject to this type of utilitarian analysis.

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#64

Crossposting from my own Reddit comment about the same article: No, it's just that the policies aren't changing fast enough to match the drop in culture pressure/attitudes that used to push people to have kids (especially religious ones). Major things that have pushed people to have kids: * De facto retirement plan / can actually make you richer (sorta) * Cultural/religious pressure * Emotional personal reasons: you…

A few common counterarguments and my responses: Kids don't have to be super expensive! This is true, but it's also true for most people they are. To make them not expensive, you have to avoid a lot of things that most people consider a normal, middle-class part of a regular lifestyle or a middle-class way of raising children. I won't dispute that there are probably smarter low-cost ways to raise kids, but we're talki…

Couple of thoughts. (1) To me, immigration can indeed fill the gap. An endless supply of people wish to leave poorer , or hotter (which is a problem with climate change) countries, for richer ones. This will hurt the poorer countries that end up with an ageing population. OTOH if those poorer countries are becoming too hot to live in, that's a good move for people , although awful for those left behind. (2) Cost of raising kids - in my experience the richer people are the more they seem to worry. Maybe those of us raised on less are simply used to being creative about getting by on less, and unfazed by the prospect. To use your 2 examples- music lessons can be had in many ways, often cheap/almost free such as joining a community music group where people will pass on skills. Disneyland - hardly essential, or any form of hardship for a child to miss out on that, IMHO. There are many ways to have a meaningful life, get plenty of education etc, without spending a fortune. While housing has gone up a lot, my parents' generation will say that in the past there were housing booms too, followed by super high interest rates, and everything else used to take relatively more of income, including food and clothes. A difference then was public transport was better in many ways and cheaper, so a car not as essential. I think the main difference now is peoples' expectations. Since the planet can't sustain ever-increasing consumption habits, probably its a good thing people are having less kids.

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#65

Earlier quoted context omitted.

So what? Is not disposable income what's left over after you pay your mandatory expenses, like housing? If real disposable income is rising, then people have more access to non necessary resources than they did before. So, they have more wealth, but are having fewer babies, which is the general trend.

> Is not disposable income what's left over after you pay your mandatory expenses, like housing? No, it’s what’s left after taxes, before any actual spending on things like housing occurs. > Gross disposable household income is the amount of money that individuals in the household sector can spend or save after income distribution measures. https://www.ons.gov.uk/economy/regionalaccounts/grossdisposa...

I'm wrong. Thanks for the correction.

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#66
post #5

Solution is simple and well-known but requires balls: separate childbearing from marriage politically, and treat it as a full-time job. Institute flat tax charged from all adult population and use it to pay salaries to all women (not "families") with children based on number of children without regard to "quality", variating (guaranteed inflation-adjusted till age of 18) salaries, and taxes, according to the birthrat…

>this will be exploited by the poorest underclass women who will have lots and lots of children to milk the taxpayer (and that's fine!) It blows my mind that people think this way. You're going to get a lot of children who are wanted for fiscal benefits, but are unwanted from a maternal benefit. So yes, number goes up, but at what non-fiscal cost?

Of course, using children for your fiscal benefit while freeing yourself of the maternal responsibility is reserved for those child-free riding off of social security paid for thanks to parents raising productive children.

You see it's only moral to use other children as fiscal cattle, not your own!

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#67
post #11

It’s not about economic conditions, or culture, or religion, or anything like that. It’s modernity itself

This really is the elephant in the room that no one wants to admit to or address. It’s not merely about economics.

There have been planned economies in various degrees that have subsidized housing, willed industries into existence, that have not done better.

The real issue is that none of our societies have brought certain values into the modern world, particularly values like family and loyalty. And because we have nuclear families now, the neuroses of the parents get focused on the 1-2 children that they tend to have.

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#68

Earlier quoted context omitted.

> Is not disposable income what's left over after you pay your mandatory expenses, like housing? No, it’s what’s left after taxes, before any actual spending on things like housing occurs. > Gross disposable household income is the amount of money that individuals in the household sector can spend or save after income distribution measures. https://www.ons.gov.uk/economy/regionalaccounts/grossdisposa...

I'm wrong. Thanks for the correction.

No sweat! First time I’ve read those words on HN, kudos :)

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#69

In this article, and in the comments here, and in news reporting in general, falling birth rates are generally seen as a problem. Why is that? I strongly feel we should strive to decrease the amount of people on this planet: less people means less resources needed to feed and to house them. It means less pressure on the planet's ecosystems, less CO2 produced, less pollution. The only ethical way to get to a lower amo…

> In this article, and in the comments here, and in news reporting in general, falling birth rates are generally seen as a problem. Why is that?

Because survival is the goal of every species. It's encoded into the brains of a healthy animal. A falling birth rate is the opposite of that, so from a philosophical point of view it's against our most basic and most important purpose of life.

From a more modern economical point of view a falling birth rate means that a lot of the luxuries we enjoy today are based on the fact that future generations will pay for them. Pensions is the obvious one, people from today won't have a pension tomorrow if tomorrow's young people are less than tomorrow's old people. But forget pensions for a moment, an even bigger issue would be health care. Health care is mostly consumed by old non working people and paid for by the younger working population, if the former hugely outnumbers the latter then it's not hard to see how our entire healthcare system will collapse.

This raises the next big issue: immigration and the loss of a nation's own culture. If a nation cannot fix the problem of the falling birth rate then the only way to sustain itself is by having to import huge amounts of young working age people from other countries, inevitable therefore changing the culture and demographic of the nation itself. You don't have to be a right wing lunatic to see that such a drastic slow shift of demographics will cause a lot of friction and issues over a long period of time before it settles again (essentially when one demographic was mostly replaced by a new one).

> The only ethical way to get to a lower amount of people is to have less children. We should see falling birth rates as a good thing, not a problem to be solved.

Well, a falling birth rate means the extinction of humankind, so it's hardly a good thing. What you mean is that you think that we need a temporary slowdown in births because you think that we have grown by too much too fast. Well, that is possible, I don't know for sure, but if you'd look at a graph of humankind you'd want to zoom out by 100x until you don't see every little blip in acute rises and drops and see a slow but steady growth, because anything else would suggest that we have a fundamental issue with our own survival. Now when our grandparents were born the world had not even 50% of the people we hav etoday, so there was definitely a huge influx of humans over the last 100 years and that is mostly explained through huge improvements in medicine and standards of living, vaccinations, etc., so perhaps there is a good argument to say that a short term fall in births is a good thing to soften the issues we see today from those drastic increases in population, but overall a fall in birthrates is not a good thing.

Re: Birth rates are falling in the Nordics. Are natalist policies no longer enough?

#70
post #53

Earlier quoted context omitted.

Can you elaborate on that? Every statistic I've seen so far looked like even "the filthy rich" don't have enough kids. Obviously you'll get some exceptions that are talked again and again on the media, but that's not the norm. Even by just looking at my surroundings, I have some friends who make decent money, and they're still on "no kids" train, even though hiring 24/7 help would just cost them pennies.

Most the statistics cut off at ~200-300+k income catch all bucket which drowns out the rich averages. See my source above capturing higher income buckets which pronounce the U. Near equal (higher) fertility at both extremes might be, but not proof of, the hypothesis the dirt poor and filthy rich are the fertility rate you get when opportunity cost looks near 0. A bucket you often see stopping at 300+k imo far too low…

I still don't understand how the opportunity cost can be 0 for the rich. Women still have to get pregnant, and sacrifice a lot of things at the cost of 1 year per kid. Like sure, they'll have nannies, but the years of "when you can have fun and do all the self-fulfillment stuff" is gone. Usually that cohort of people are also fairly educated, so they have even more connections and opportunities to lose during those lost years.

Sure, if your goal is to have as many kids as possible, that's a different topic. But that's statistically insignificant amount of people as of now.

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