Child Care for All? In New Mexico?

Peter Zeihan 4 min

For the first time in the United States, we actually have somebody at the state level that is thinking about what the future of the demographic profile looks like and what the future of the workforce looks like. I call that good news.

Chapters

  1. 0:44

    New Mexico's Structural Challenges

    New Mexico faces severe demographic and economic hurdles due to its geography, climate, and historical issues.

  2. 1:40

    The Child Care Policy Shift

    New Mexico introduces a new policy providing state-covered child care for everyone to address workforce and demographic decline. Urbanization removes the economic benefit of children, making childcare essential to keep women in the workforce. The program will cost approximately $600 million annually, funded by the state's oil revenue sovereign fund.

  3. 3:31

    A Rare Strategic Investment

    This represents a unique state-level commitment to addressing future demographic and workforce realities with significant funding.

Key points

  • 0:44

    New Mexico ranks near the bottom in crime, labor force participation, income, education, and infrastructure.

  • 0:44

    The state's geography features a difficult Rio Grande Canyon, desert, and semi-arid conditions.

  • 0:44

    New Mexico contains one of the densest concentrations of Native Americans with reservation issues.

  • 1:40

    Raising children in towns provides no economic benefit, creating a financial burden for families.

  • 1:40

    Extended maternity leave policies often make women unemployable in their 20s.

  • 1:40

    Providing childcare allows parents to choose between being a mother or a worker without losing either.

  • 3:31

    The new policy costs approximately $600 million per year to implement statewide.

  • 1:40

    Funding will come from the state's sovereign fund derived from oil income.

  • 3:31

    This is the first time a US state is investing significantly in future demographic and workforce profiles.

  • 3:31

    The speaker considers this approach good news despite uncertainties about feasibility.

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