The majority of governments in developing countries usually consider their increasingly ageing populations as an economic and social threat. Others, however, view this phenomenon as socially and economically advantageous. While there are limited economic and social benefits flowing from an ageing population, the overall impact on these societies is problematic.
On the one hand, there are some economic and social rewards associated with an ageing population. Firstly, businesses servicing the elderly, such as aged residential care, have seen demand expand significantly over the past 15 years, and this increase will continue in the future. There are also some positive social impacts, such as increased community and familial cohesion. A significant proportion of retired people are actively involved as volunteers in a wide range of community organisations, while grandparents often help their immediate families with informal child care and other assistance.
On the other hand, the negative implications of an ageing population are numerous and diverse. One of them is on the provision of health care. As people live longer, they require more services for longer periods from the health industry, thereby increasing the financial and personnel burdens on the system. Additionally, the declining participation of elderly people in the workforce results in lower tax revenue, at the very time when social welfare costs are rising. Finally, there is also a direct impact on business revenues, as older people tend to spend less on consumer goods, particularly substantial purchases such as property and vehicles.
In conclusion, while there may be some benefits associated with an ageing population, they are outweighed by the large number of negative economic and social problems it creates.
Nguồn: DOL English