1.3.2 Managing Population Change Notes

Targeted Policies Are Essential to Addressing Demographic Challenges

1. Demographic challenges such as aging populations, low birth rates, and gender inequality require targeted policies.
2. These policies aim to balance population dynamics and ensure sustainable development.

Strategies to Tackle the Challenges of Aging Populations

1. Increasing Retirement Age: extending the working life reduces pressure on pension systems and ensures an active labor force.
   1. Many European countries, like Germany, have gradually raised the retirement age to address aging-related challenges.
2. Pension Reforms: adjusting pension systems ensures their sustainability as life expectancy rises.
   1. This includes transitioning from defined-benefit to defined-contribution schemes or indexing benefits to inflation.
3. Incentives for Elder Care: encouraging families to care for elderly relatives reduces public healthcare costs and strengthens intergenerational bonds.
   1. Japan offers subsidies for families providing home-based elder care, reducing reliance on institutional services.

Pro-Natalist Policies Aim to Increase Birth Rates

1. Examples of common pro-natalist policies include:
   1. Financial Incentives: reducing the economic burden of raising children encourages families to have more children.
      1. Many countries, such as France or Poland, offer generous child allowances, tax breaks, reduced price of goods and services, free public services, and cash bonuses for families with multiple children, contributing to a higher fertility rate.
   2. Childcare Support: affordable childcare enables parents, especially women, to balance work and family responsibilities.
      1. In Sweden, heavily subsidized childcare and flexible parental leave policies have helped parents manage family life while maintaining careers, supporting higher birth rates.

Case study

Pro-Natalist Policies in Russia

1. Low fertility has been a significant issue in Russia for decades, driven by:
   1. Poor reproductive health services and limited access to modern contraception.
   2. High abortion rates and widespread infertility.
   3. An aging population structure.
   4. Economic pressures and women choosing to have fewer children.

History of Pro-Natalist Policies in Russia

1. 1930s: Pro-natalist policies began under the Soviet Union, rewarding families with three or more children.
2. 1970s: Fertility rates fell below replacement levels.
   1. A childbearing age policy was introduced in 1981, but it did not increase the number of children born.
3. 2006: With fertility at 1.3 children per woman, Russia introduced new measures to boost birth rates:
   1. Increased child benefits based on family size.
   2. Extended parental leave to support working mothers.
   3. Financial incentives for second and third children.

Impact of Pro-Natalist Policies

1. Between 2006 and 2012, fertility increased to 1.7, with second births rising by 40% and third births by 60%.
2. However, the overall increase came from a very low starting point.
3. Despite policies, women’s long-term intentions to have more children did not significantly change and, consequently, currently fertility rate dropped again to 1.4.

Future Population Projections

1. By 2100, Russia’s population could decline to 100 million, similar to its population in 1950.
2. Workforce numbers have fallen by 15% between 2000 an 2025, leading to economic and social pressures.
3. To mitigate decline, Russia is also considering increased immigration and raising the retirement age.

Anti-Natalist Policies Aim to Reduce Birth Rates

1. These policies aim to address challenges such as overpopulation, resource scarcity, and environmental degradation.
2. Examples of common anti-natalist policies include:
   1. Family Planning Programs: providing access to contraception and reproductive health services helps reduce birth rates.
      1. Countries like India and Bangladesh have implemented family planning programs that increased contraceptive use, significantly lowering fertility rates over time.
   2. Education and Awareness: educating communities about the benefits of smaller families helps shift cultural norms toward reduced fertility.
      1. In Ethiopia, grassroots campaigns have raised awareness about the economic advantages of smaller family sizes, contributing to declines in fertility rates.