The Economics Show Why are birth rates falling? With Alice Evans
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Feb 21, 2025 Alice Evans, a Senior Lecturer at King's College London and author of The Great Gender Divergence, discusses the alarming decline in birth rates worldwide. She and John Burn-Murdoch explore the economic consequences, including increased pension burdens and reduced innovation. The conversation reveals how changing relationship dynamics and socioeconomic factors contribute to this trend. They also critique the ineffectiveness of financial incentives for boosting fertility, advocating for a deeper understanding of societal issues like loneliness and shifting gender roles.
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Global Birth Rate Decline
- Falling birth rates are a global phenomenon, impacting developed and developing countries alike.
- This demographic shift has significant economic consequences, including reduced innovation and strained social safety nets.
Immigration and Alternative Solutions
- Immigration, while potentially beneficial for innovation, poses integration challenges as a solution to aging populations.
- Technological advancements like AI could offer alternative solutions, but each has its own set of difficulties.
Aging and Economic Stagnation
- Japan's economic stagnation is primarily due to its aging population and declining workforce, not decreased productivity.
- Older populations tend to be less economically active, hindering overall economic growth.