Maintaining Prosperity in an Aging Society

Abstract

The implications of aging for OECD societies are deep and pervasive. The effects have been positive in recent decades. However aging trends are likely to result in a smaller proportion of the population being employed in the years after 2010, posing major challenges. There is likely to be reduced growth in material standards of, living. Fewer workers to support more retirees raises fiscal issues and issues of, inter-generational fairness. Increasing periods of life spent out of contact with the labor market in retirement raises fundamental issues about the allocation of work and leisure over life.