Design Economics to Avoid Poverty


Social Welfare
Proportional
Children
Program
Single
Child
Program
1
child
$ $$$
2
children
$$ -
3
children
$$$ -
... ... ...
n
children
$...$ -
Should a nation give money, for a family, to raise children?

In Brazil, there is a social program (Bolsa Família) that gives a small amount of money for each child (of a poor family).

When the nation gives a large amount of money, there would be some issues:
  • The nation may not have enough money (for all the families).
  • Each family may have as many children as they could.
In China, there is a law about "every family can have only one child". In Western Nations, families can decide how many kids they have.

A solution for this question could be: "For the first child, the family will receive a large amount of money (from the nation) to raise the kid. For all the other children, the family will have to raise the kids with their own money.".

After a few generations, maybe poor people could learn how to raise kids (without the money from the nation).