• Evidence Based Policy - Macroeconomic Research Center

Macrocenter expert:  Recently, due to the reduction in the population, we can hear a lot of calls for additional measures to stimulate the birth rate. However, investments in children are investments with a long-term impact (20-25 years). For example, children born in the mid-2000s will enter the labor market and will begin to create added value only in 2025-2030. From the economic theory it is known that the growth of the birth rate can serve as a barrier to economic growth. Especially when the country is trying to overcome the middle income trap.

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