Today’s Chart of the Day from Econofact.org shows the trend in US birth rates which peaked in 2007 and is now 20% less. In the study of economics and finance, the topic “How many people will be in the future?” is paramount. Imagine the economic differences between one million or one billion people. This difference would impact productivity, replacement of jobs, and continued transfer payments.
The article discusses the decline coinciding with the Great Recession, which is common during economic downturns; however, in this case, the birth rates have not returned to the long-term norm. The article goes on to explain the reason is that younger adults now have different preferences on having children, life aspirations, and parenting norms.
Oddly enough, this is a common issue in developed countries, such as Japan. Overall, however, the population of the world continues to grow as birth rates have accelerated in other parts of Asia.