Why Social Security Is Doomed: “Birthrate At Lowest Level on Record”… And the Future Is Unfunded
Mac Slavo
December 22nd, 2016
SHTFplan.com
Here’s more evidence that the “recovery” never really happened, and good reason to think that the entire social net structure is doomed to fall apart.
The birthrate, long tied to economic growth, has been dropping to its lowest point in recorded history – both nationally and, in particular, in the state of California.
This demographic shift is bad news for the economy – in terms of housing, consumer markets, and especially for the long-term funding of social security, medicaid, medicare and other obligations that younger generations have typically been expected to pay into.
Whether or not you agree with the system in place, the fact that it is virtually certain to go bankrupt before the generation of baby boomers shift off this mortal coil should be troubling to everyone planning a future in the United States.
Official numbers show that the birthrate began to steadily decline in 2008 when the crisis hit and – unlike even during the Great Depression – hasn’t ever picked back up. 2016 saw the lowest point ever for California, even with higher births from immigrants factored in.
via the L.A. Times:
California’s birthrate dropped to its lowest level ever in 2016, according to data released by the state’s Department of Finance.
Between July 2015 and July of this year, there were 12.42 births per 1,000 Californians, the agency said this week. The last time the birthrate came close to being that low was during the Great Depression, when it hit 12.6 per 1,000 in 1933.
But, unlike after the Depression, birthrates haven’t bounced back quickly as the economy has picked up.
California has been experiencing a years-long downward trend that likely stems from the recession, a drop in teenage pregnancies and an increase in people attending college and taking longer to graduate, therefore putting off having children…
“Eventually you think about having a child and by this point in time you’re in your early 30s,” he said… when women’s fertility begins to decrease…
Similarly, the national birthrate began falling in 2008 and continued to do so through 2013, when it hit a record low of 12.4 per 1,000 people.
Already, states and cities are unable to meet their pension obligations. A very bad game of musical chairs is in the works, and unless something major changes, it could spell ruin for aging generations to come, who will be forced to contend with a shrinking pool of support – both officially and unofficially – from younger generations.
The Rest…HERE
