Much of the world seems to be concerned about population
bursts. Global average population growth rates have crossed 1.25%. However, it
is interesting to dive into intricacies of nations that face the opposite situation;
a rapidly decreasing population. In particular, 2 nations are under threat;
Japan and Moldova. Here, I shall try and understand the situation in each of
these nations in order to foster a greater understanding of an issue less
spoken of. Although reasons for
population decline vary, the consequence does not. Productivity his hit due to
a crunch in the work force which hampers economic growth.
The most severe cases of population decline are seen in Eastern
Europe. Moldova, one of the nations within this region, loses roughly 1% of its
population annually. It has a death rate of 11.1deaths /1000 population, a rate
more alarming than war torn nations in Africa such as Sudan (8 deaths/ 1000
population). Why? The answer may be found in the pages of history. The fall of
the Soviet Union was as economic as it was political. Eastern Europe was
economically dependent on the Soviets and their crash left these nations
staring into financial downturn. Financial instability may have driven the population
to slow down its birth rate as more lives mean more mouths to feed. The birth
rate is, to this day, relatively lower than the global average that is required
to sustain a population. In addition, globalization has paved the way for
emigration and `brain drain’. Financially insecure minds often wander outside
the boundaries of the land they were raised in. When skilled and educated
personnel leave the nation due to lack of opportunities, it has disastrous
effects on the population growth rate. Staggering number of students seek an
education in foreign universities despite efforts from the state to promote
domestic educational programs through financial incentives.
However, Japan might be staring down a hole deeper than it
imagined. In 2014, the island nation was left with roughly 268,000 people less
than what it began the year with. A figure that reflected the severity of the
problem at hand. Why? Factors at play include the high cost of living in major cities
and the low and decreasing fertility rate which is currently at 1.41 births/ woman.
For most Japanese, the balance between work and domestic life is hard to find.
Working long hours rarely leads to a commitment to raise children. Japan also
faces an increase in ageing population at the cost of decreasing youth. This
has severe implications on total productivity. Unemployment is over 3%, which
may be another cause for the population crunch. A major cause may be the strict
immigration laws upheld by the island nation. Japanese government officials validate these regulations as necessary to maintain the ethnic homogeneity of the
population. True as that may be, their effects seem to reflect otherwise.
The bottom line is, a decrease in population both in Eastern
Europe and Japan points to decreased economic activity which then fuels a
domino effect of decreased consumption and lower revenue through taxes. Thus,
while much of the world struggles to accommodate an expanding population, it is
crucial to fathom the grievances of those nations that face the opposite.
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ATHARVA DESHMUKH
Good post.
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