No, America doesn’t need to birth more babies
I’m reading these religion-based and politically based articles saying Americans need to have more children. WTF?
“In an effort to get Americans to have more children, the Trump administration has proposed ideas such as a $5,000 “baby bonus” or a $1,000 tax-deferred investment account for children born between 2025 and 2029. It’s as if we’re suddenly in a game of Monopoly: Have a baby, pass go and collect cash!
“Their concern is that declining birth rates may lead to a smaller workforce amid an aging population, potentially straining economic stability and the social safety net. But having children can be a swift way into debt. According to the Brookings Institution, a financial think tank, the average middle-income family with two children — median income $80,610― spends $310,605 on each child by the time they reach 17.”
A $5000 bounty against $311,000 net expenses? Seriously? What sort of idiot would be incented by that?
If you were seriously concerned about a shrinking workforce, you’d relax immigration policy. More babies means waiting 18+ years to solve today’s problem.
Then, there’s the environmental impact of more American children. All those disposable diapers are going . . . where? What legacy does that leave?
And 18-22 years later, what jobs will be there for all these kids when AI and robots are doing all the jobs?
Fewer children is a feature, not a bug.
Trump’s baby bonus plan
“In an effort to get Americans to have more children, the Trump administration has proposed ideas such as a $5,000 “baby bonus” or a $1,000 tax-deferred investment account for children born between 2025 and 2029. It’s as if we’re suddenly in a game of Monopoly: Have a baby, pass go and collect cash!
“Their concern is that declining birth rates may lead to a smaller workforce amid an aging population, potentially straining economic stability and the social safety net. But having children can be a swift way into debt. According to the Brookings Institution, a financial think tank, the average middle-income family with two children — median income $80,610― spends $310,605 on each child by the time they reach 17.”
A $5000 bounty against $311,000 net expenses? Seriously? What sort of idiot would be incented by that?
If you were seriously concerned about a shrinking workforce, you’d relax immigration policy. More babies means waiting 18+ years to solve today’s problem.
Then, there’s the environmental impact of more American children. All those disposable diapers are going . . . where? What legacy does that leave?
And 18-22 years later, what jobs will be there for all these kids when AI and robots are doing all the jobs?
Fewer children is a feature, not a bug.
Trump’s baby bonus plan
Hey Joel:
We are in the midst of a Labor shortage even now. Much of which has been covered up by manufacturing efficiencies, exporting manufacturing, etc. to Asia, and A1. The last time I looked at population, we are not replacing ourselves and neither are the next generations. Some have opted for no children. This has been occurring since -2006.
Is it bad? I do not know. Probably . . . Since we are kicking cheap labor out of the US, the potential for labor shortages has increased and following such will be low prices for various products including food. Will US citizens pick crops? Not sure we can as we are not used to manual labor. Maybe machines . . .
Not an argument for more babies. Just what this manufacturing consultant is seeing as a potential issue.
@Bill,
How will making a bunch of new babies fix the current labor shortage? Child labor laws will have to be changed to allow infants one year old and younger to work full time. Who will change diapers? Will there be required time off for naps? Will infant workers be required to supply their own bottles and formula?
Actually, a falling population may be a good thing. It worked out well for Europe in the 14th and 15th century at least for those who survived the plague.
We can replace cheap labor with automation. Low tech cotton picking machinery didn’t come into common use when one could threaten people with torture or starvation if they didn’t work. Cotton picking machinery had to wait until urbanization and manufacturing created a labor shortage.
It’s like that in countless businesses. Companies don’t innovate unless it costs them money not to. The central planners are terrified of a labor shortage because they’ll have to innovate and spend money on restructuring their businesses. Maybe it’s high time those making the big bucks got to work for their living.
SW:
Ok, Not enough immigrants of the right color.