Baby bonus boosts birthrate
By Michael McKinnon and Clara Pirani
September 16, 2006 12:00am
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THE Government's $4000 maternity payment has helped to accelerate the nation's birthrate with more than 10,000 extra babies born in the past year.
Centrelink data on the number of parents claiming the $4000 baby bonus, obtained using Freedom of Information laws, reveals that the birthrate is rising at a much faster rate than previously thought.
The figures show that 268,667 parents claimed the Federal Government payment for their newborns in 2005-06. While yet to be confirmed in official birth statistics, this number represents an increase of more than 10,000 births on the previous year and more than 16,000 on 2003-04.
Demographers suggest the maternity payment - worth $3000 when it was introduced in July 2004 but increased to $4000 in July this year - combined with low interest rates and low unemployment, may be driving the baby boom.
Australia's fertility rate, which reached 1.8 babies per woman last year, is up from 1.72 in 2003 and is well above rates of between 1.2 and 1.4 in many other developed nations.
The figures provide the first comprehensive picture of the number and ages of people who have claimed the baby bonus in the two years since its introduction. According to the Centrelink data, there were 235,299 claims for the bonus - comprising 194,342 couples and 40,957 single parents - in 2004-05.
The number of claims jumped by 33,368 in 2005-06 to 268,667, perhaps reflecting the fact that some parents failed to claim the bonus in its first year.
The figures dispel suggestions the lucrative payment has encouraged teenagers to have children, with only 186 extra claims by teenagers between 2004-05 and 2005-06.
Overall, 4800 teenagers claimed the bonus in 2005-06.
However, older women are increasingly giving birth.
The number of claims by parents over the age of 40 increased from 9906 to 15,873.
Similarly, the number of claims by parents aged 35-39 increased from 44,783 in 2004-05 to 55,350 in 2005-06.
A spokeswoman for Treasurer Peter Costello - who famously remarked at the 2004 Budget that families should have "one for mum, one for dad, and one for the country" - said the Government's family-friendly policies were responsible for the growing birthrate.
"The Government has offered a number of incentives, such as the baby bonus, substantial increases in the rates of family benefits and extra childcare places to help with the hurdles of raising a family.
"Having a child can be costly and it is pleasing that this payment is helping thousands of families around Australia with these costs. If it brings about an increase in the fertility rate, that is a good thing."
A higher number of births reflected a growing level of confidence in Australia's future and that families had been experiencing a high level of economic security under the Coalition Government, the spokeswoman said.
http://www.news.com.au/story/0,23599,20419491-2,00.html
Good news there, but the best way for Australia to raise the birth rate is a return to Christianity.
Key phrase there. Suggest as in cannot conclusively prove. Without something more substantiative, I'd chalk up the increase as coincidental.
Well, good on you, mate!
Maybe the bonus is just enough to make people feel they can take the plunge. It at least gets them through the start-up costs. :-)
That said, it's sad that government subsidies have to be employed this way.
P.S. My gut feeling is that the plan won't work as well in Germany as in Australia. There is a fundamental optimism gap between the two countries. Also Germans are so numb to government subsidies already that I don't see this making much of a difference.
Muslims should be excluded. We also don't need a bunch of children born out of wedlock with parents receiving welfare. This could encourage the wrong people to reproduce.