>>510693245In capitalism children (really all class-based societies) are by and large considered property of their guardians, usually their parents. This is discussed in more depth in The Origin of the State, the Family, and Private Property by Frederick Engles. Parents also economically provide for their children’s needs. This gives them near unlimited power to do whatever they wish with their children, including making them work. They can be made to work around the house, work in a family owned business, or even work outside the house in a business of another. This directly benefits the parents.
In the past there were many opportunities for children to be subjected to labor. Child labor laws were laxer. Many farmers were small owners who could freely force their children to work for them. When women normally stayed home they could supervise childrens’ housework.
Today there are far fewer of these opportunities in many countries. Children have to attend school for most of their waking hours, leaving little time to work on their parents’ behalf. Child labor laws are stricter. There’s fewer stay-at-home parents.
And while the benefits have decreased, costs have gone up. Many feel college is basically a requirement now. Everything’s expensive. Children are an investment just like any other, and right now the costs are outweighing the benefits. If you want birthrates to go up, then increase the age of majority, transition to a lower skill economy where children will not need so much education, lower the required years of schooling, and get rid of more child labor laws. That will increase the benefits for people considering becoming parents. It’s also why the birth rate isn’t a problem I care to solve.