The modern welfare state is a gigantic Ponzi scheme. To survive, it needs a constantly growing number of contributors, or at least a constant ratio of contributors to recipients. Its sprawling bureaucracy has contributed to the systematic fall in productivity rates in the economies that have expanded it. Too much capital is tied up in unproductive areas of the respective societies. Another symptom of its growth is the collapse of the family as the social pillar of society. It will a la long be the solution to the problem if societies are forced to scale back their welfare state activities for economic reasons. At the same time, massive poverty migration is weighing on the social systems of these strong countries. This migration is now acting as a fire accelerator and will dissolve the structures faster than the inherent process is able to achieve.
Ironically poverty migrants mostly Muslim have high birth rates
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Imagine working like a donkey to finance this system...
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You are so right, data wise, it's a demographic time bomb... The ratio of working to non working is critical, and has completely changed since the European welfare states were established. Dont know euro data, but for the UK there were about 6 workers for every 2 retired back in the 1940's when the State Pension was set up. So it was affordable, and the deal was you pay for people currently retired; in return when you retire someone else pays for you. Pretty much the definition of a ponzi scheme (!) but the demographics worked; and following the brutality of WW2, people rightly wanted a better future. Now it's 2 workers per retiree. Falling birth rates and increased longevity mean the sums just dont add up anymore.
... But I dont see an answer. Welfare is a clever Social Democratic trap. It's unaffordable but cut back the welfare state and plunge people into poverty? No thanks for most people, and we already have record homelessness etc... Plus no one would get elected on that basis. So, like gov debt, the can will keep getting kicked down the road I guess... Europe (the continent) continues to stagnate...
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yes, you're right. i see a creeping process of young adults living in their parents' homes again and thus strengthening family finances. in future, the basis will be family cohesion and an economy that tends to be jointly managed. of course, the state will try to maintain the ponzi welfare state with the printing press and in this way inflate the thing to destruction.
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An aging society: where nostalgia becomes the only thing multiplying faster than the birth rates.
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Let's ask the senile guy on the WH
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When societies overspend on non productive aging populations, young people lack the means or hope necessary for taking on the challenges of parenthood.
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That’s what women in South Korea say
We should ask @south_korea_ln
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Family trees are upside down
Lot of great comments about welfare, social security or pensions, high taxes…
I wonder the effect of abortion.
In South Korea the birth rate is now 0.78. Replacement level is 2.1.
The biggest factor imo in USA and South Korea, many women value careers over marriage and children. They want to date but not settle down. Not a judgement but an observation
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