– Life expectancy has increased significantly in the first two decades of the century, posing challenges for rich countries.
– People tend to underestimate their chances of living to 75, leading to a lack of retirement savings.
– Andrew J. Scott calls for a transition to an “evergreen economy” to address the challenges of an aging population and boost growth.
Life expectancy has increased significantly in the first two decades of this century, posing challenges for some wealthy countries. Many people underestimate their chances of living to an older age, leading to inadequate retirement savings. This has strained pensions systems, created labor shortages, and increased cases of age-related diseases. Economist Andrew J. Scott believes addressing the aging population will be a major issue of the 21st century.
Scott advocates for transitioning to an “evergreen economy” that utilizes the aging population to address inequality and boost growth. He suggests that governments invest in preventive health initiatives, companies support older workers, and individuals take better care of their health and finances. Aging populations are beginning to impact economies like Italy and Japan, where a significant portion of the workforce is over 65. The United States faces a retirement crisis with many older adults earning low incomes.
Scott argues that policies focusing on raising the retirement age miss the true challenges faced by older adults in the workforce. He emphasizes the need for sustainable health, skill development, and age-friendly job opportunities. While some may view an “evergreen economy” as unrealistic, Scott remains optimistic about the possibilities of an aging society. He emphasizes the importance of taking better care of one’s health and finances to prepare for longer lifespans.