Singapore to pay citizens 50,000 euros per child
Singapore will pay citizens 50,000 euros per child to halt the decline in birth rates. The precedents of Spain and Australia suggest scepticism.
English · Original discussion in Spanish · Published
Singapore pays 50,000 euros per child: the baby bonus against the demographic crisis
The Government of Singapore has decided to tackle low fertility with heavy ammunition: 50,000 euros per child born to citizen parents. The measure, presented as support for family formation, also pursues a stated goal: preserving the country's "ethnic balance". The figure is not symbolic, but the evidence accumulated in other countries calls for caution.
In Spain and Australia, similar programmes produced a brief uptick in births that faded after a few years. The studies cited in the analysis suggest the long-term impact is minimal. The underlying problem is not just economic: the demographic crisis extends to almost the entire planet, including developing countries.
Why don't baby bonuses work?
The most common diagnosis among observers is that one-off payments do not offset the structural cost of raising a child. In Singapore, housing is among the most expensive in the world and workplace pressure is intense. Add to this a cultural shift and, according to some analyses, even a biological one, with declining fertility in both men and women.
The case of Singapore is especially illustrative because it is a liberal country with a GDP that depends on human capital. Falling birth rates become a systemic threat, not merely a demographic one. That is why the government is firing on all cylinders, even though the precedents suggest that money alone does not move the needle.
The European precedent
Those who compare the situation with Spain point out that similar measures have been tried there too, with scant results. The difference lies in the starting point: in Europe, the combination of unaffordable housing, modest wages and shifting social priorities has turned fertility into a first-order problem. If international experience is anything to go by, Singapore's bonus will deliver a short-lived uptick, but it will not reverse the trend.
The conclusion, pending real data, is that Singapore's baby bonus is an expensive experiment of doubtful effectiveness. If money could beat demographics, countries with generous benefits would have solved the problem long ago. They have not.
The Government of Singapore has decided to tackle low fertility with heavy ammunition: 50,000 euros per child born to citizen parents. The measure, presented as support for family formation, also pursues a stated goal: preserving the country's "ethnic balance". The figure is not symbolic, but the evidence accumulated in other countries calls for caution.
In Spain and Australia, similar programmes produced a brief uptick in births that faded after a few years. The studies cited in the analysis suggest the long-term impact is minimal. The underlying problem is not just economic: the demographic crisis extends to almost the entire planet, including developing countries.
Why don't baby bonuses work?
The most common diagnosis among observers is that one-off payments do not offset the structural cost of raising a child. In Singapore, housing is among the most expensive in the world and workplace pressure is intense. Add to this a cultural shift and, according to some analyses, even a biological one, with declining fertility in both men and women.
The case of Singapore is especially illustrative because it is a liberal country with a GDP that depends on human capital. Falling birth rates become a systemic threat, not merely a demographic one. That is why the government is firing on all cylinders, even though the precedents suggest that money alone does not move the needle.
The European precedent
Those who compare the situation with Spain point out that similar measures have been tried there too, with scant results. The difference lies in the starting point: in Europe, the combination of unaffordable housing, modest wages and shifting social priorities has turned fertility into a first-order problem. If international experience is anything to go by, Singapore's bonus will deliver a short-lived uptick, but it will not reverse the trend.
The conclusion, pending real data, is that Singapore's baby bonus is an expensive experiment of doubtful effectiveness. If money could beat demographics, countries with generous benefits would have solved the problem long ago. They have not.
Also available in: Deutsch
Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (21 replies).
More summaries
-
Hypergamy blamed for Spain's low birth rate, but is it the real cause?
€1,300 salaries, €300,000 apartments, hypergamy and cultural change: the mix leaving Spain without children.
-
Spain's 200-euro-per-child payment smells like electioneering
200 euros per child with no income cap: the pre-campaign proposal that many see as buying votes with public money.
-
Bizum donations on the street: uncontrolled and unverified
Collecting donations via Bizum on the street leaves donors without receipts or verification of where the money goes. Unproven accusations tarnish the case.
-
Spain's housing decrees put 900,000 flats at risk of leaving the market
Spain's housing decrees put 900,000 flats at risk, and investment funds are already halting affordable rental projects while Junts refuses to back them.
-
European Parliament report refers to 'menstruating individuals'
The women's health report approved by the European Parliament avoids the word 'woman' and instead speaks of 'menstruating individuals', sparking criticism over inclusive language.
-
Portugal plans to charge irregular migrants for healthcare
Portugal is considering requiring foreign nationals without legal residence to pay for healthcare or prove insurance: 330,000 treated in emergency rooms, more than 140,000 uninsured.