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Case Study: An Overpopulated Country - Bangladesh

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Introduction

Done by: Yeo Yong Huat What is meant by 'aging population'? Discuss and explain its economic and social impacts. Aging population occurs as a result of age imbalance, where there is a large and increasing proportion of population aged 65 and above. This demographic problem can be seen in some MEDCs such as UK and Japan. The cause can be attributed to declines in total fertility rate to below replacement level of between 2.1 and 2.5, and high average life expectancy at birth. For example, Japan has a total fertility rate of 1.3 and average life expectancy at birth of 83. UK has a total fertility rate of 1.7 and average life expectancy at birth of 79. ...read more.

Middle

Together with the negative economic impacts, the low income group will find it harder to break out of the poverty cycle. This can lead to increased crime rates and incidences of social unrest as a result of dissatisfaction or desperation due to poverty and unemployment. These can further compound the problem of aging population, as the unsatisfied young migrate to other countries. Now us look at the negative economic impacts. With decreases in labour pool and aging population, labour cost will increase as a result of increased wages and increase in medical costs. Also, an aging population can lead to reduction in profit as productivity and efficiency of workers decreases due to increase in the number of sick days associated with an aging workforce. ...read more.

Conclusion

Regional imbalance and uneven distribution of social burden can become more profound, leading to regional disparities. This is the result of the migration of rich aged migrants to retirement towns and inner city having a higher percentage of poor aged migrants. However, an aging population does have its positive impacts. Firstly, there will be increased employment choices in the short term as a result of decrease in labour pool. Also, there will be increased wages in the short term as a result of decrease in labour pool. As demand for labour exceeds supply, wages tend to go up. In conclusion, as can be seen, an aging population is a long term problem that brings about many negative impacts. Although there are some positive impacts associated with an aging population, these tend to be short term. ...read more.

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