Social Policy

Monetary Cost of Teen Pregnancy

Taxpayers will spend nearly $7 billion this year to deal with social problems resulting from recent births by girls under the age of 18, according to a study by the Robin Hood Foundation, a New York City charity.

The estimated annual cost for 1996 can be broken down as follows:

  • Teenage mothers cost the country an additional $2.2 billion annually in welfare and food stamp benefits.

  • Medical care costs are an added $1.5 billion.

  • Foster care expenses are increased by $900 million.

  • Additional prison construction costs $1 billion.

  • In addition, the government loses about $1.3 billion a year in tax revenues from the reduced productivity of women who bear children as teens.
Researchers compared the consequences of childbirth for teenage mothers, their children and the fathers of the babies with people from the same social background whose first pregnancy was delayed until the woman was 20 or 21.

They found that teenagers gained no economic advantage -- at least for a few years -- by delaying childbirth until they were age 20 or 21.

Those who have their first child as a young teen average higher incomes from the age of 19 to 30 than those who put it off -- when welfare benefits, child support payments from fathers and earnings are added together.

As a group, girls under 18 years old give birth to 175,000 children each year. A total of about 500,000 thousand children a year are born to girls ages 15 to 19, 72 percent of whom are unmarried.

Source: Steven A. Holmes, "'96 Cost of Teen Pregnancy Is Put at $7 Billion," New York Times, June 13, 1996.

The social Costs of Out of Wedlock Births

Out-of-wedlock births are not only a costly social problem, but the children themselves are at a significant disadvantage compared to children born to two-parent families.

  • They are 50% more likely to be born with a low birth weight, and the rate of infant mortality is higher in this group.

  • Some 29.7% must repeat a grade at school, compared to the overall rate of 11.6%.

  • Children from single-parent families or stepfamilies are two to three times more likely to have emotional or behavioral problems.

  • Daughters of single parents are 53% more likely to marry in their teens, 111% more likely to have children as teenagers, 164% more likely to have premarital births and 92% more likely to end their marriages.

  • Studies show that when they reach their 30s they earn an average of $11,500 less than those from two-parent families - regardless of race or parent income.

  • Seven in ten juveniles in long-term correctional facilities did not live with their fathers while they were growing up.
The cost of illegitimacy is economic as well as human. It is estimated that the economic cost approaches $750 billion. And the problem is growing.
  • The national out-of-wedlock birthrate climbed from 7.7% in 1965 to 31% in 1993.

  • White illegitimacy rates increased from 4% of all births in 1965 to 24% in 1993.

  • For black births, the numbers leaped from 25% to 69% over the same period.

  • More than 1.2 million children are born out of wedlock each year.
Source: Matthew Robinson, "Can the U.S. Afford Illegitimacy?" Investor's Business Daily, October 16, 1995.

Slight Decline in Teen Birth Rate

American girls age 18 to 19 gave fewer births in 1993. The rate declined 2%, just as it had in 1992. For girls age 15 to 17, the rate was unchanged.

  • For every 1,000 women age 15 to 19, 59.6 gave birth, down from 60.7 in 1992.

  • The rate was highest in Washington, D.C., with 208.4 births per thousand.

  • The overall birthrate in the nation reached its lowest point in 15 years, with 15.5 per thousand.
Officials at the Center for Disease Control speculated that the decline was due to increased use of condoms.

Source: Associated Press, "Teen Birthrate Continues to Decline; CDC Statistician Cites Condom Use," Washington Times, September 22, 1995.



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