Aging gracefully: What the West can learn from Japan
Comment of the Day

July 08 2010

Commentary by David Fuller

Aging gracefully: What the West can learn from Japan

My thanks to a subscriber for this informative report from Schroders. Here is the opening
As the world's 'oldest' country, Japan provides a unique example of how countries and companies can respond to the challenges of aging. As we know, it is difficult to reverse or meaningfully alter unfavourable demographic trends, and pre-emptive reforms are essential for successful adaptation. This has, to a certain extent, occurred in Japan, meaning the country is now in relatively good shape to bear the costs of aging in comparison to other developed markets economies. As much of the world begins to face the challenges of demographic change, we explore the lessons that governments, companies and investors can learn from Japan.

Japan is the 'oldest' country in the world, with a median age of 44.7 years: about 5 years higher than the developed country average, and more than 15 years higher than the global average1. By 2050, the elderly dependency ratio will be 75%, meaning there will be three retirees for every four people of working age.

David Fuller's view Median age of 44.7! I would hate to hang out with that many old people.

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