Is America’s Falling Birth Rate A Threat To Growth?

The Trump administration and business leaders such as Elon Musk have increasingly encouraged Americans to start and grow families, arguing that the country’s declining birth rate poses long-term risks to both society and the economy. Although the relationship between the U.S. birth rate and economic growth is not perfectly clear, both the birth rate and the pace of U.S. GDP growth have trended lower over time. This parallel decline has fueled concerns among some policymakers and business leaders that a shrinking or aging population could weigh on future economic expansion.

Source: Macrotrends, World Bank, The Business Week Graphic

This graph was produced by Lucas Juery, CFA, CFPⓇ and is not intended to provide financial advice.