The European Experience: Incentives Aren’t Working

In countries like Norway, Hungary, and Italy, governments have been offering significant financial and social incentives to encourage families to have more children. These include subsidized loans, tax exemptions, free or subsidized childcare, extended parental leave, and even direct cash payments for each child born. Yet, despite these efforts, birthrates remain stubbornly low, well below the replacement level of 2.1 children per woman.

For instance, Norway has one of the most generous welfare states, offering up to 14 months of paid parental leave, with 80% of salaries covered for both parents, and even subsidized IVF treatments. Hungary has gone further by offering lifetime tax exemptions for women with four or more children, cheap loans, and subsidies for minivans. However, the fertility rate in both countries remains at 1.4 to 1.5 children per woman, far below what is needed to sustain their populations.

This inability to increase birthrates despite lavish incentives points to a deeper issue: the decision to have children is no longer just about financial resources or practical barriers. Cultural shifts, lifestyle preferences, and the challenges of modern life play a much more significant role in influencing whether people want children at all.

Why Women Are Choosing Fewer or No Children

A common thread among women in Europe, and increasingly in the U.S., is the belief that having children is a lifestyle choice rather than a societal duty. Norwegian women, for instance, cite personal reasons over financial or practical barriers for not wanting children. Many women now prioritize education, career, and personal freedom over starting a family, and by the time they are established enough to consider children, many either do not want them or feel they are too old.

One key quote from the article highlights this shift in mindset: “Even though there are now no practical barriers, I realized that I don’t want children,” said a woman from Norway who had once considered having kids. This sentiment is echoed across Europe, where governments may offer financial benefits, but personal and cultural factors weigh more heavily on these decisions.

Moreover, women increasingly view the decision to have children as deeply tied to their autonomy and future life satisfaction. The article describes how, for many women, having children feels like an overwhelming commitment that will restrict their career growth and personal freedom—especially in societies that still expect women to shoulder the majority of childcare responsibilities.

How Economic Realities Shape Decisions

Economic factors also play a crucial role. The rising costs of housing, childcare, and education make the financial burden of raising a child daunting. In the U.S., many young couples find themselves unable to afford a home or adequate childcare, leading them to delay or forgo having children. While European countries offer more comprehensive welfare programs, American women face a harsher reality, where the lack of paid maternity leave and affordable childcare further discourages family growth.

In the comments section of the Wall Street Journal article, readers expressed frustrations with the economic barriers to parenthood. One reader noted how the increasing costs of housing and inflation make it difficult for couples to maintain a comfortable standard of living, much less afford children. Another reader highlighted how childcare costs in many American cities rival or exceed the cost of college tuition, adding another layer of financial stress for potential parents.

Even in countries with strong family-support policies, like Hungary, many women express that the financial incentives are not enough to offset the social and emotional costs of parenthood. One Hungarian woman, quoted in the article, said that although she could afford a larger home if she had children, she doesn’t feel morally right having a child just for financial benefits.

The Role of Culture and Gender Expectations

Beyond economics, cultural attitudes toward gender and family also play a significant role. In many European countries, despite generous parental leave policies and efforts to encourage fathers to take on more caregiving responsibilities, women still carry the bulk of the burden. This creates a disincentive for women who wish to advance their careers or maintain a certain level of independence.

As one comment from the Wall Street Journal pointed out, many men today are also less willing to commit to family life. A woman shared her experience of how difficult it is to find a partner who is both willing and eager to start a family. Modern dating trends and the growing desire among men for independence or delayed family life contribute to this dynamic.

The narrative that women are choosing careers over children is further complicated by societal pressures and traditional gender roles. As another commenter remarked, many women feel they must choose between their ambitions and their desire for children because societal structures don’t fully support a balanced family life. The burden of childcare, even in societies with strong family policies, falls disproportionately on women, leaving many to wonder if the sacrifices are worth it.

What This Means for American Women

The data from Europe offer a glimpse into what could happen in the U.S. as fertility rates continue to decline. American women face a unique set of challenges—less comprehensive social safety nets, unaffordable childcare, and rising costs of living—that make it even more difficult to consider having children. The U.S. fertility rate has already fallen to a record low of 1.6 children per woman, and without major policy changes, it is unlikely to rebound anytime soon.

For women who do want children, the lack of support makes it harder to have as many as they might want. Meanwhile, for those on the fence or who prefer a child-free lifestyle, the high costs, both financial and personal, provide further justification for delaying or avoiding parenthood altogether.

The Future of Family Policies

Despite the bleak outlook, some U.S. policymakers are beginning to address the issue. Proposals such as baby bonuses, tax incentives, and subsidized childcare have been floated, with Vice President Kamala Harris suggesting a $6,000 baby bonus and Donald Trump proposing free in vitro fertilization. However, the European experience suggests that financial incentives alone may not be enough to reverse the declining birthrate. A more comprehensive approach that addresses cultural attitudes, workplace flexibility, and shared parenting responsibilities will be necessary.

Ultimately, for American women, the decision to have children will remain a deeply personal one, influenced by a complex interplay of cultural, economic, and psychological factors. As the experiences of European women show, reversing the baby bust will require more than just cash incentives—it will require a societal shift in how we view family, work, and gender roles. Only then can we create an environment where more women feel empowered to choose motherhood, if they wish, without sacrificing their autonomy or financial security.