Indian Newspaper: Shrinking Populations = Shrinking Productivity
Even in a poor country like India, life expectancy has increased by five years in just the last decade, while birth rates have been falling.
Contemporary trends suggest clearly that adults are living longer and fewer children are being born in countries that account for half the world’s population. Even in a poor country like India, life expectancy has increased by five years in just the last decade, while birth rates have been falling. What this means for the global population is that in six or seven years from now, over 50% of the world will face shrinking populations and a corresponding rise in the number of old people.
In global terms, it means that in the richest countries of the world, tax bases will shrink and these countries will be spending more on old-age benefits. In India, this will apply to children of retired parents, who will be living well into their 90s. In some parts of the world, a shrinking population also means a smaller workforce. The prediction is that this will lead to a reduced gross domestic product in most of the world.