Fighting the Demographic Winter—An Evaluation of Hungarian Family Policy for the Last Ten Years

Péter Novoszáth

doi:10.22158/uspa.v5n1p1

Abstract

These days as well as the past decades, the demographic relationship between European countries is best characterized by low fertility rates and the resulting aging population and low birth rates. Members of the European Union, including Hungary are faced with similar issues in the stagnation and decrease in the number of births and the fact that the total fertility rate does not meet the 2.1-value necessary for a population’s reproduction. The European Union does not have a family policy and member states have different needs on a national level. Each country uses various methods to combat the challenges resulting from a “demographic winter” based on their own cultural background and financial capacities. This study examines the increase in fertility rate in Hungary between from 2010 to 2019 which occurred despite the fact that women tend to have their first child at an increasingly older age. As a result of Hungarian family policy, the fertility rate in Hungary increased from 1.25 to 1.55 during the past decade. In my study I’m going to examine the actions that led to this. This study will also give credence to the fact that a coherent family policy can have positive effects on demographic processes.

Highlights

These days as well as the past decades, the demographic relationship between European countries is best characterized by low fertility rates and the resulting aging population and low birth rates
The current study provides empirical findings regarding the connection between state allowances for families and birth rate
The number of live births exceeded the value recorded in 2010 by 3,1%. This may seem like a modest result, if we contrast it with Visegrad countries with similar economic development (Czech Republic, Poland, Slovakia), we can see that compared to Hungary the number of live births had decreased by 2019 comparted to 2010

Summary

Introduction

The world’s population is continuously increasing, but in certain countries a decrease in the total population can be observed. The population’s age structure will change drastically as well, the number of children and those of working age will decrease, while the proportion of older people will increase (Földházi, 2014) All this was primarily a projection based on the demographic processes of the past two or three decades, as a result of low fertility rates and the lack of reproduction. Income taxes represent an exogen variable that influences the decisions to have a child through the costs of having and raising children (Whittington, 1992) Contrary to what they expected, the authors found that the number of births pose a more fundamental question is developed countries: Could the system of tax allowances be used as an economy policy tool to reverse the process? 0,00 rance ngary ark nm eden w orway bourg celand ngdom rmany lgium stonia oland public inland ael (a) ustria

F Hu De S N uxem I ed Ki Ge Be E P ch Re F Isr A

The Goal of the Hungarian Government’s Family Policies From January 2021, The

Findings

Hungarian Family Protection Action Plan