During the 1990s, before the United Nations' Year of Family Iceland was spending roughly 18% GDP on welfare and health care.
This percentage spent on both healthcare and welfare seemed looked even thinner because Iceland has more children per family than other European countries with more progressive health care and social policies.
Children's care hours and after school activities were more highly funded during this time to establish more child friendly policies for working-class families.
The modern model does strictly offer progressive benefits to families on the means test of income.
The framework of family is important to the people of Iceland because they believe social emotional connections develop from the home to the society around them.
In 2012, Eydal and Friðriksdóttir was passed and stated that parents who did not live with their children did not receive any benefits from the family welfare policies.
These trend are due to a highly developed work force and equal rights for men and women.
The decrease in fertility is also in part due to the education and counseling that both men and women receive in Iceland at a young age in sexual reproduction.