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October 9, 2009

Baby Bundle: Japan's Cash Incentive for Parenthood

Daisuke Wakabyashi & Miho Inada:

Japan wants to set just the right mood to get its people to make more babies. But forget dinner and candlelight: The government's plan depends heavily on large amounts of cash.

With a worried eye on declining birth rates and an aging population, Japan's new leaders propose offering new parents monthly payments totaling about $3,300 a year for every new child until the age of 15. Other initiatives include more state-supported day care, tuition waivers and other efforts designed to make parenthood more appealing.

But experts warn money alone does not a baby make. Governments have a mixed record in pushing up birth rates, as economic inducements sometimes fail to overcome other complex societal forces that affect baby-making decisions.

In Japan, they include the traditional reliance on mothers to perform the bulk of duties in the home, including child-rearing. Demographers say Japan might have more success if they also encourage more Japanese men to come home and do the dishes.

Posted by Jim Zellmer at October 9, 2009 3:22 AM
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