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Article: Aging: another contribution to the theory and empirics of economic growth.
- Article from:
- International Journal of Business Research
- Article date:
- March 1, 2009
- Author:
CopyrightCOPYRIGHT 2009 International Academy of Business and Economics. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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1. INTRODUCTION
By any account the world is aging, most notably in developed nations. Public health improvements, better economies, the "healthy worker effect" and medical technology have reduced infant mortality and extended life span. In response, birthrates in many developed nations have declined. Accordingly, the demographics of many developed nations reflect a "baby boom" followed by a "baby bust" so that an ever increasing number of elderly persons must be supported by a dwindling number of younger workers.
In time, these nations will develop a new equilibrium for the ratio of the number of workers for each retiree. However, before that ...