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Economics

Economic Consequences of Demographic Transitions in Aging Societies

Quick fact

In 2023, Japan's median age was about 49 and its working-age population had been declining for over two decades. Demographers estimate that by 2050, the share of people over 65 will exceed 40%, forcing dramatic shifts in jobs, savings, and public spending.

Why this is interesting

Japan is aging faster than any other country—almost a third of its population is over 65. What happens to an economy when the workforce shrinks and retirees grow in number?