A low birthrate has prompted the Japanese government to provide tangible incentives for growing families. A new proposal would pay parents $3,400 per year per child in an effort to counteract the effects of an aging population. Japan's birthrate is currently among the lowest in the world.
At present, approximately 25% of the country's population is above age 65; by 2050, it could reach 40%. This dynamic could strain medical and social services, limit the employment pool and constrain economic growth.