Population Growth and the Economy

I found it rather interesting lately that the media has portrayed our shrinking population growth as an alarming trend. Many sources have cited that the drop in the average growth rate to 1.9% isn't even enough to replace the numbers of people dying. This makes me wonder, though, if that's really so terrible. Do we honestly need to increase our population? Let me elaborate on my thoughts, if you'd be so kind, and then let's start a debate in the comments below.

Debunking the "Higher Population Equals World Domination" Theory

In the past, it was proposed that population growth would make countries more powerful. The more hands there were to produce goods –> the more goods that could be sold –> the more money in the governmental pockets –> the more powerful the country could become on the world market.

This theory makes sense, in a way, but it doesn't account for the stagnation of sales. When goods flood the market, they only become cheaper. And when they are sold for pennies on the dollar, supporting the population becomes more difficult, not easier. The higher population countries then must care for more unemployed or underemployed people, which kinda puts a stop to their dreams of economic domination.

Tackling the "Support the Elderly" Idea

Another idea linked to the population and economic principles is that we must replace the persons who pass in our country with bouncing babies. The idea here is that when baby boomers retire, we must have a large young generation in place to work. This generation will provide Social Security with the funds necessary to pay Baby Boomer health care costs.

However, I think that if we plan more carefully, we can cross this "population crisis" bridge with grace –and without robbing the young. For one thing, a smaller population in the future will mean we have to pay out less in tax-supported programs for the young, like less money to support public schools. For another thing, Social Security needs a revamping anyway; we can accomplish this without increasing a more sustainable population growth of two children on average per family.

Reaching for Population Growth is Unsustainable for Today's Parents

Beyond the economic ideas that higher population is positive, we come to the fact that even if having more kids is good for the economy as a whole, it's often difficult for parents to have large families nowadays. The costs of raising children are astronomically high (around $12,000 per year), and even if you cut the costs through things like thrift store shopping, it can still be hard to make ends meet. Now, parents are simply putting off having children or having fewer children overall.

I think this is a positive step toward economic sustainability. It means that more people are aware of how kids will affect their finances and are planning to responsibly provide for their families – a responsible nature that often extends to planning for retirement as well. And responsible parents lead to responsible children, which will decrease the dependence on government programs in the years to come.

So that's it: my thoughts on the population crisis; I think we can weather the storm. Please weigh in below with your own thoughts!

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