fbpx
01 / 05
Things Are Getting Better and Overpopulation’s Not a Problem

Blog Post | Overall Mortality

Things Are Getting Better and Overpopulation’s Not a Problem

By nature, human beings can be pessimistic. But, depending on their political persuasion, people tend to focus on different things. Among the Progressive shibboleths in recent decades were concerns over overpopulation, exhaustion of natural resources and coming widespread famine. Data, however, tells a different story. The population growth is leveling off and food is more plentiful than before. The New York Times and the National Public Radio were forced to admit as much in two articles over the last couple of days.  

On May 31, 2015, the New York Times published a story entitled “The Unrealized Horrors of Population Explosion.” The article admits that the planet is not facing a problem of overpopulation. In fact, due to increased prosperity around the world, women have access to more information, education, and career choices. Female empowerment combined with the massive improvements in healthcare and dramatically falling infant mortality rates, have led to total fertility rate plummeting from 5 babies per woman in the 1950s to 2.5 in 2010s. 

To put it in the dry language of economics, as women’s earning potential increases, the opportunity cost of having babies increases as well. As such, more women chose to enter the labor force rather than stay at home and raise the children. The TFR of 2.5 babies per woman is still above the replacement rate of 2.1, but United Nations’ demographers predict that the world’s population will level off at 9 billion people and then start falling. That is already happening in a number of European countries. German population, for example, is predicted to decline from 80 million today to 71 million in 2060. 

So much, then, for the “settled” overpopulation consensus, which led, among other things, to forced sterilization of thousands of Indian men and women. As one author writes, “Incentives – radio sets, cash, food – were offered at first to volunteers who put themselves under the knife. When these failed to attract big numbers, Sanjay [Gandhi who was the son of the then Prime Minister Indira Gandhi and in charge of forced sterilization] handed down targets to government officials. The ‘find and operate’ missions that followed were directed at the most vulnerable and defenseless individuals in the country…. One [Indian] state reported 600,000 operations in two weeks…. Policemen on sterilization assignments ransacked entire villages in their pursuit of adult men. The threat to drop bombs on villages was issued.”

(The Stanford University professor Paul Ehrlich, who more than anyone was responsible for the overpopulation hysteria that gripped the late 1960s and 1970s, is still alive, still publishing, still listened to and still admired. He owes the world an apology.)

Let’s turn to the question of food supply. On June 1, 2015, the NPR published an article entitled “There Are 200 Million Fewer Hungry People Than 25 Years Ago.” According to the state broadcaster, “The world isn’t as hungry as it used to be. A U.N. report has noted that 795 million people were hungry in the year 2014. That’s a mind-boggling number. But in fact it’s 200 million lower than the estimated 1 billion hungry people in 1990. The improvement is especially impressive because the world population has gone up by around 2 billion since the ’90s.”

Put differently, hunger is in retreat in spite of a still-growing population. Why? Because of increasing crop yields facilitated by modern machinery, synthetic fertilizers and faster transport. To give one example, in 1866, American farmers produced 24 bushels of corn per acre. In 2012, they produced 122 bushels of corn per acre. Concomitantly, the price of corn declined from $5.55 in 1866 (1982 dollars) to $3.15 in 2012.

As Professor Jesse H. Ausubel of the Rockefeller University points out, “If the world farmer reaches the average yield of today’s US corn grower during the next 70 years, ten billion people eating as people now on average do will need only half of today’s cropland. The land spared exceeds Amazonia. This will happen if farmers sustain the yearly 2 percent worldwide yield growth of grains achieved since 1960, in other words if social learning continues as usual.”

(The hero of increasing crop yields and improved global food supply was the father of the Green RevolutionNorman Borlaug, who is credited with saving more human lives than anyone in history. The world owes him a great deal of gratitude.)

It took a while for the New York Times and NPR to acknowledge what anyone familiar with Professor Julian Simon’s work has known since the publication of Simon’s 1981 book The Ultimate Resource. The key to feeding a growing population is to realize that human beings are intelligent animals. Unlike rabbits, people can find ways around scarcity.

This post originally appeared in Cato at Liberty on June 2, 2015.

Axios | Goods Market Efficiency

Walmart Says Faster Delivery Is Changing How People Shop

“Walmart says faster delivery is changing how customers shop, with more people using 30-minute delivery for everyday needs like diapers, cold medicine and meal ingredients, the company told Axios.

Why it matters: Retailers are increasingly competing on speed — not just price — as Walmart, Amazon, Target and grocery chains battle to become consumers’ go-to platform for urgent shopping.

Driving the news: Walmart says it can now reach 60% of U.S. households in 30 minutes or less. The capability is currently offered in Dallas, Houston, Chicago, St. Louis, Atlanta, Tampa and Oklahoma City, with plans to expand further.”

From Axios.

Bloomberg | Goods Market Efficiency

Amazon and Walmart Compete to Better Serve Rural Communities

“Many rural online shoppers are used to waiting half a week or longer for purchases to arrive. Amazon, which disclosed its $4 billion rural delivery push last year, has narrowed that to less than 24 hours for 1 in 5 rural and small-town households, according to a Bloomberg analysis of delivery times for commonly purchased items. The company offers 48-hour delivery to 62% of rural households, the analysis found.

The payoff could be huge. Rural shoppers in the US collectively spend $1 trillion a year on clothing, electronics, household goods and other items, representing about 20% of retail purchases excluding cars and gasoline, according to Morgan Stanley. Amazon aims to recondition those shoppers to expect quick delivery, which would play to its strengths and make the company top-of-mind for online purchases.

Amazon’s biggest obstacle is Walmart Inc., which claimed the heartland decades ago during an aggressive expansion on its path to become the world’s largest retailer. Walmart has spent years training rural shoppers to come to its stores for groceries and then snag clothes, TVs and crockpots while there. It has a big head start on Amazon in proximity, with stores and Sam’s Clubs located within a 10-mile drive of nearly two-thirds of rural households, Bloomberg’s analysis shows. Walmart is also upping its e-commerce game, turning its thousands of locations into delivery hubs and pickup locations for products ordered online.”

From Bloomberg.

Economic Advisory Council to the Prime Minister of India | Goods Market Efficiency

India’s Recent Durables Goods and Asset Ownership Progress

“This study compares the Household Consumption Expenditure Survey 2023–24 with 2011–12 and finds significant advancements in spending on durables goods and ownership of key durable assets. These changes represent shifting priorities and aspirations for consumption among Indian households and improvements in quality of life. Additionally, our analysis focuses on the Bottom 40 (B40) percent of the households by consumption, which have been extensively targeted through programs of the Government of India and state governments. Studying the consumption and ownership trends of these households is an important measure of the effectiveness of welfare policies. Consumption patterns of households have transformed significantly over the last decade with households spending a smaller portion of the monthly per capita expenditure (MPCE) on food items. Across the three components – food items, consumables and services, and durable goods the share of food has fallen to less to than 50% in both sectors. Consequently, a greater share of household consumption expenditure is now non-food spending on consumables and services, and durable goods. Consumables and services are the largest component of household spending in urban areas.”

From Economic Advisory Council to the Prime Minister of India.

NBC News | Air Transport

Drone Deliveries, Slow to Take Flight, Come to Silicon Valley

“The hype around drones may finally be starting to deliver.

Drone deliveries, first touted by Amazon more than a decade ago, are slowly taking off in some parts of the U.S. On Thursday, Matternet, a drone delivery startup, launched its service to Silicon Valley…

The announcement adds to signs of growth for drone delivery. In Fort Worth, Texas, which recently became the first major city in the United States to offer commercial drone deliveries, they’re being used to deliver groceries from WalMart.

In College Station, Texas, Amazon’s drone delivery service has become common enough for residents to see the service as a noisy nuisance. And, with recent FAA approval, the company seems set to expand drone delivery operations across the city and beyond. 

Experts say many of the obstacles to drone delivery, most notably the technology and regulations, have been hurdled.”

From NBC News.