It’s all in the head. Research shows that people in societies like Singapore compare themselves with others amid intense status competition and put off having children because they fear they are lagging behind.
Amy Lim
Singapore’s birth rate recently reached a record low, having fallen from 1.12 in 2021 to a mere 1.05 last year. Figures were equally disconcerting in South Korea and Japan, which recorded birth rates of 0.78 and 1.2 respectively in 2022. Paradoxically, all three are developed and economically affluent countries with an abundance of resources that can potentially be spent on raising children
Yet, despite continued efforts to boost birth rates – including the use of financial incentives such as cash bonuses and paid parental leave – the figures continue to fall in these countries. This begs the question: Can financial incentives alone effectively boost birth rates?
It’s not just about the money
The answer is no, for there is more to this predicament than financial concerns – reasons that are far more intricate and complex, and can’t be solved by merely providing financial incentives. Recent research has found that certain characteristics of modern societies chronically induce people to think that they do not have enough to start a family, even if they may already possess sufficient resources.
Funded by an Academic Research Fund Tier 1 grant from Singapore’s Ministry of Education, a consortium of researchers from institutions across the globe – Singapore Management University, Murdoch University, Arizona State University, Vrije Universiteit Amsterdam, and Florida State University – recently undertook a rigorous examination to understand reasons behind a society’s growing reluctance to start families and raise children.
Their revelation cast a new light on the baffling decline in birth rates. Beyond the prism of economic affordability, it was found that the critical factor revolves around the allure of social status. Specifically, people believe that they need to go through intense competition in order to achieve higher social standing. People can prioritise acquiring this social status at the expense of their marriage and reproduction. Sadly, even those who may already possess ample standing and resources in society can fall into this trap and convince themselves they are lagging behind.
Through experiments involving more than 700 participants below the age of 40, the researchers found that those primed to consider pursuing social status were more inclined to postpone marriage and parenthood. These individuals also expressed their preference for fewer children, opting to invest more resources in each child’s development rather than distribute these across multiple offspring.
Evidently, the looming spectre of not being able to achieve a certain social standing plays a pivotal role in delaying family planning, perpetuating the decline in fertility rates.
The appeal of social status
Throughout history, people have craved social status as it translates to more resources, more benefits and a more comfortable life.
But research has consistently demonstrated that when it comes to gauging their social status, people look at it in terms of where they stand in relation to others and not in absolute terms – in other words, it is not about how much one has achieved, but about how this achievement compares with others’.
This seeds the perception that there are a lot of people, and thus competition, out there, and leaves people feeling inclined to out-compete others so as to maintain a “decent” social standing. The problem gets worsened in modern societies like Singapore where people pick up on the cues they are surrounded by: growing influx of global talent, and an increasing number of people who are not only highly educated but also boast diverse experiences and other sought-after traits by companies, among others. This can deepen the perception of scarcity and heighten competitiveness, driving individuals on a relentless chase for the “decent” social status they desire – a perpetually moving target.
Social media further complicates the situation, with curated online personas in today’s digital world sparking a distorted reality of success and prosperity. On social media, people have the ability to exaggerate their actual levels of success – take for example curated posts showcasing glamorous experiences, luxury possessions, and personal accomplishments. Contemporary media also frequently highlight and expose people to select individuals of extremely high social standing, who oftentimes are outside the former’s social circles and with whom they do not actually compete.
Collectively, these factors signal to people’s psychology that they must not only out-compete a significant number of others, but also out-compete those who already possess a lot. This leads them to delay starting a family, even if they may objectively already possess sufficient status and resources to do so.
What has this got to do with birth rates?
The fact is that people have limited time and energy, which means trade-offs need to be made between the two. Pursuing career success demands significant investment, as does raising a family. If individuals decide to pursue a better career, this implies that they need to allocate a certain amount of time and energy to that goal. This also inevitably means they would have less time and energy to invest in starting a family.
In East Asian countries where there is an emphasis on endowed social status (social status conferred through educational qualifications and occupations), not only do we observe an obsession with furthering education and working in prestigious careers, we also observe ultralow fertility. Experts have also observed people prioritising careers and wealth over having children in order to maintain a middle-class lifestyle. They fret about whether they have the time and energy to care for a child (or an additional child) as they attempt to balance work and family commitments. The inadvertent consequence of having to out-compete others for status perpetuates the decline in fertility rates.
Where do we go from here?
We’re living in an increasingly Vuca (volatile, uncertain, complex and ambiguous) world, as evidenced by recent years’ events such as the Covid-19 pandemic, Ukraine-Russian war, and inflationary pressures, among others. As a result, the costs associated with starting a family – such as buying a home and raising children – have increased. While financial assistance undoubtedly plays a key role in mitigating these costs and lowering the barriers to starting a family, it is equally crucial to address the psychology behind reproductive decisions.
While complex, the reasons behind this fertility predicament are not insurmountable. One may have to go beyond financial aid to tackle Singapore’s fertility challenges. It may also be necessary to regulate individuals’ perception of competition and sufficiency to reverse the decline in birth rates. For example, highlighting the benefits of a fulfilling family life could offer a counterbalance to the allure of social status. Equipping individuals with the tools to discern between reality and illusion in the digital world can also curb the harms caused by skewed perceptions.
The silver lining is that people do still express a strong desire to have children. The 2021 Marriage and Parenthood survey shows that a majority of respondents (77 per cent), who were single, want children. Some experts have also attributed 2022’s record low birth rate to cultural reasons, particularly to it being the Year of the Tiger in the Chinese zodiac. This then suggests more positive prospects for next year’s birth rates, with it being the celebrated Year of the Dragon.
The quest for societal success need not eclipse the dream of a family; it’s a matter of fostering an environment where both aspirations can coexist harmoniously. The intricate interplay between social status, resource competition, and family planning paints a comprehensive picture of the fertility dilemma. Coupled with financial incentives, addressing the deeper psychological hurdles of perceived competition can potentially breathe life into birth rates and pave the way for a more promising demographic future.
- Dr Amy Lim is a lecturer in psychology and the discipline lead in psychology at Murdoch University (Singapore). She holds a PhD in psychology from Singapore Management University and her research focuses on the application of psychology to addressing current societal issues.
Beyond money: Why financial incentives alone aren’t encouraging more births | The Straits Times https://www.straitstimes.com/opinion/beyond-money-why-financial-incentives-alone-aren-t-encouraging-more-births