Over-population would be a much more difficult problem to manage, I am not sure about the optimal human population for this planet, but I am fairly certain that a stable population is much better than a quickly growing one.
Quick decline can also be an issue at some point, but in my opinion there is a tight relationship between population density and the housing market, the latter acting as a bottleneck, and if I am right the whole thing should be self-correcting.
The next generations will have more space than they need for themselves, that will naturally lower the barrier to have multiple Childs.