According to early data, the Covid -19 crisis caused both baby boom and bust it all depends on the region.

The fertility rates across the globe are unsatisfactory. People now live longer and more expensive lives and wealthy nations all would like to boost birth rates. Economic effects of this tendency are straightforward: older generations have fears about their pensions and younger people have to pay more in order to make a living for parents and grandparents.

As the pandemic hit, speculations were about its effects on demographics. It seems that it varies around the world: in the US and China fertility rate is already declining. That is why governments have made various decisions to motivate people to raise more children.

On the other hand, in Germany there is a different trend: the country’s birth rate reached the highest level in over 20 years. One of the reasons is strong social safety net, so that people could have a job during the pandemic.

All in all, it will take a few years to tell whether policies made by governments will have an impact on fertility in the world’s largest economy.

Baby boom or bust?
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