The unfortunate flip side of this is that when you bring in a lot of immigrants, it can keep a lot of markets pumped up far beyond what the markets would usually dictate.
Here in Australia, we tipped below replacement rate in 1976 and it has never recovered, we just increase immigration to cover the gap. Culturally this has been brilliant but economically it has made some oddities in that housing is through the roof as there is far more customers for it than their would have been otherwise. But it does provide a lot of younger workers that manage to keep the pension system going and the demand on that system is only going to grow for decades to come.
The alternative is that you restrict immigration and we end up in the Japan position. A crumbling pension system and a lack of people to keep ever maintenance up of a lot of infrastructure and sheer labor availability.
I have wondered that as this situation grows globally, what happens when a lot of nations that have typically had a lot of emigration end up shutting the tap off as yhey feel they need their people more in their country? They can starve others of immigrants and potentially become a large political tool in decades to come. Interesting times ahead.
It is the difference between a solution and a predicament. A solution fixes the issue, a predicament has only response merely that try to take the least bad path down. This looks like a predicament.
I do fear for the younger folks, the kids and a generation or two afterwards nowadays as they are going to end up lumped with this mess. But after that things should settle down into a new stable phase. This isn't the end of civilizations it is just a re-calibration, it just take generations to occur.
The main problem is that solutions would be very expensive and, unfortunately, politicians don't get (re-)elected to solve problems that manifest over the span of decades.
I don't think that's correct. Saying that "solutions would be very expensive" implies that there are actual solutions in existence. I've seen a lot of suggestions, and many have been implemented, some do slow down the dropping birthrate problem (countries with good maternity leave systems and regulated working hours are doing way better than those without), but nowhere have I seen any true fix presented, with or without a label "will work, but will be too expensive".
I argue nobody dared to try. Would be a significant undertaking for the whole society. It's manifesting way to slow so nobody sees the acute urgency, so politicians tend to think about other topic most of the time.
Also pretty hard with a society full of people that don't want to have children that they must pay a lot of money to people that have children. All that while also paying a lot of money to people that are too old to work.
It will only becomes worse over time, though.
What I'm asking is "..dared to try what?". What, excactly, would you offer? As I mentioned in another comment, those families in my own country which a) do not have any economical worries, and b) have great family leave support from work, i.e. no career problems whatsoever, and c) even more that I don't list here, they DO NOT WANT more than two children anyway. Because it feels fine with two. And then there's a problem, because that's not enough - there are a lot of singles out there, and most of them don't produce any children. You need more than two children per family, on average, to keep up the birthrate vs the death rate.
So, what is the solution that nobody has dared to try?
What solutions though?
From my tangential experience (brother and wife live in Tokyo), there are a ton of programs that are extremely desirable from the US birthrate/childcare perspective already.
Base level of 8 weeks Maternity leave , with 6 weeks ahead of birth as well. And government pays a lump sum to help cover hospital costs per birth.
The community support and available activities.
Seesh the only things that seem negative are the Japanese type of xenophobic culture (my family is white, so their kids are mixed), and the small living space which leaves little room for privacy in like any point of their day.
From all I've read or heard about birth rate rise the measures that sociologists see as the most effective are: provide cheap housing and pay much more to families (i.e. mostly to women) with children to compensate for their loss of potential career. The latter has a twist that the payment should start (or significantly increase) with the birth of the second child (and continue to rise with the third etc). Paying for the first child does next to nothing to the birth rate. Some countries already do that, but the amount of money poured into this should increase by order(s) of magnitude to achieve the replacement level.
Or we can go full medieval - completely deprive women of education possibilities and financial independence, like Taliban does.
> the amount of money poured into this should increase by order(s) of magnitude to achieve the replacement level.
Exactly. And I found it being obvious after having thought about it, even while not having kids and I most likely will never have any.
Just from observing and talking to people with 0-2 kids (nobody I know has more...).
I know a couple with good income, living in Munich, which is one of the most costly cities in Germany, one Child. Avoidable pain points (finding daycare, you better start right after the baby was born, because they have multi-year waiting lists) and they feel the financial hit pretty hard.
> extremely desirable from the US birthrate/childcare perspective already.
Always a bad idea to compare with the US which is known to have a terrible social net.
> The community support and available activities.
Interesting. Is it easy to find high quality daycare for children? That seems to be a huge pain point in Germany. Also child support is too low.
I agree that solutions might not be so simple that you can just "buy them". What you can buy at least is removing pain points and giving incentives.