Aging and Economic Growth

Aging refers to the increasing average age of a population, often due to longer life expectancy and lower birth rates. Economic growth is the increase in a country’s production of goods and services over time. As populations age, there are fewer working-age people, which can slow down economic growth because of reduced labor force and higher healthcare and pension costs. This demographic shift can challenge productivity, savings, and government resources, making it essential for policymakers to find ways to sustain economic vitality despite an aging population.