There is a lot of discussion about the driving force behind changes in the economy, and specifically, at a macroeconomic level.
If we accept that change at a macro level is the aggregate result of change at a micro level, every little change that takes place in the life of people ultimately affects how the overall picture is shaped in the economy etc.
And what a major change in the life of people a newborn baby represents!
It goes without saying that the life of the baby’s mother will never be the same after giving birth to. her baby
After all, the mother of baby is the first, and probably the most important, person that the baby will meet in life, without, of course having any intention to downplay the role of the father.
Grandparents, relatives, and friends of the family are just a few more people that are directly affected by a child’s birth.
All of these people recognize the fact that another human being has come to life, and this human being has every right to achieve their full potential in life.
As a result, all of these people are deeply affected, and without even realizing it, do their best to help the baby grow and become an adult.
As soon as the baby can eat solid food, the mother of the baby cooks her most nutritious and tasty meals for her baby, with her love and care being the cooking ingredient that makes the difference.
The father of the baby wants to make sure that he can provide the best for his baby. Therefore, if he is out of work, he feels the urgency to get a job as soon as possible.
The grandparents of the baby want to help the baby’s parents in any way they can, so that their grandchild receives nothing less than a “royal treatment” in life, and can go to such lengths that the parents of the baby may even complaint that they never got the same treatment from the baby’s grandparents, when they were children themselves.
If all this hustle and bustle of activity is not a major driving force behind activity in the economy, I don’t know what else could be.
The parents of the baby need to generate more income to provide for a third person in their life.
The grandparents of the baby are generous in spending for their grandchild.
The relatives and friends of the family, with their gifts for the baby, also contribute to the baby’s financial well-being, either directly or indirectly.
In this way, the gears of the economy are turned in the background by such an unsuspected driving force as a newborn born can be.
Isn’t this incredible?
And when the baby becomes an adult, they will be able to generate more income and add a further boost towards economic growth.
Further reading:
U.S. Department of the Treasury, The economics of child care supply in the United States