Saturday, June 03, 2006

Japan's fertility rate has sunk to a new low for the fourth year running.

Japan fertility hits record low

Correspondents say the fall indicates the government's efforts to encourage more births have been unsuccessful.

Japan's falling birth rate could affect the national social security system, which is already suffering from a shortage of funds for pension benefits.

The country has one of the lowest birth rates in the world.

Perhaps social security systems should not be built like pyramid schemes. I wonder who noone ever offsets those predictions with the other effects on the economy, such as school funding and future healthcare.

There is a Related Article on CNN:

Chief Cabinet Secretary Shinzo Abe, a front-running candidate in the race to succeed Koizumi when he steps down in September, highlighted the consequences of the low birth rate.

"The trend towards having fewer children will have grave impact on the economy and society as it slows economic growth, increases the burden for social security and taxes, and reduces the vitality of regional society," he told a news conference.

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