How to Fill the Working-Age Population Gap in Asia: A Population Accounting Approach
To address the challenges of aging populations, this paper examines extending the retirement age, augmenting labor migration within the region, and using population accounting methodology with the goal of increasing fertility rates.
World populations are aging—with the speed and extent of the demographic shift varying across developed and developing economies. Extending the retirement age is expected to reduce the dependency ratio by increasing the number of workers relative to the number of consumers. Meanwhile, increasing immigration will require proactive efforts in both host and source economies. While increasing fertility rates may entail additional short–term burdens on the economy, policy makers need to take urgent action to avoid being trapped in the vicious cycle of shrinking populations and rising dependency ratios.
- Asia's Demographic Change and Economic Impact
- Estimating Population Surplus/Deficit
- Ways to Augment the Labor Force