The world in three charts: ageing populations
With advances in healthcare, life expectancy has been steadily rising. In many regions this trend has been coupled with a fall in birth rates, resulting in a rapidly ageing population - and the financial burden that brings
18/10/2018
Rosie Carrow
Content writer
The three charts below demonstrate the rise in ageing populations and signpost how this trend might affect different countries’ economic prospects.
Of the world’s wealthiest nations, Japan has the longest experience of coming to terms with an ageing population. As the first chart shows, it is alone in experiencing a drop in total population over the last two decades. But what is more striking is the decline in working population: an ageing population means that a dwindling proportion of the total are in work. Of the wealthy nations, only Germany is alongside Japan in experiencing a fall in working-age population this century.
The second chart provides a snapshot of how this filters into other aspects of the economy, such as the job market. The third chart shows that while China’s population is not ageing as rapidly as other countries’, it will soon have more centenarians than any other nation.
Population growth in G7 countries
2000-2018 % change
Source: IMF
Japan: employers needing workers
Number of job offers per applicant
Source: Thomson Reuters datastream
China will have the most centenarians
Number of persons aged 100 and older Number of persons aged 100 and older per 10,000
Source: United Nations, department of economic and social affairs
Author
Rosie Carrow
Content writer
This article is issued by Cazenove Capital which is part of the Schroder Group and a trading name of Schroder & Co. Limited, 1 London Wall Place, London EC2Y 5AU. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Nothing in this document should be deemed to constitute the provision of financial, investment or other professional advice in any way. Past performance is not a guide to future performance. The value of an investment and the income from it may go down as well as up and investors may not get back the amount originally invested. This document may include forward-looking statements that are based upon our current opinions, expectations and projections. We undertake no obligation to update or revise any forward-looking statements. Actual results could differ materially from those anticipated in the forward-looking statements. All data contained within this document is sourced from Cazenove Capital unless otherwise stated.
