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@kushkatakia @tca_tca @porinju In comparison Demographic Challenges of China

Many economists contend that China’s demographic policies, particularly its one-child policy (first implemented in 1979), are beginning to have a significant impact on the Chinese economy,
@kushkatakia @tca_tca @porinju For example, according to a McKinsey Global Institute study, China’s fertility rate fell from about 5.8 births per woman in 1964 to 1.6 in 2012. This is now affecting the size of the Chinese workforce.
@kushkatakia @tca_tca @porinju The existence of a large and underemployed labor force was a significant factor in China’s rapid economic growth when economic reforms were first introduced. Such a large labor force meant that firms in China had access to a nearly endless supply of low-cost labor,
@kushkatakia @tca_tca @porinju which helped enable many firms to become more profitable, which in turn led them to boost investment and production. Some economists contend that China is beginning to lose this labor advantage.
@kushkatakia @tca_tca @porinju According to the Chinese government, the size of its working age population (ages 16 to 59) peaked at 925 million in 2011, but then fell for seven consecutive years to 897 million in 2018.
@kushkatakia @tca_tca @porinju The Chinese government projects that its working age population will drop to 830 million by 2030 and to 700 million by 2050. If these projections prove accurate, the Chinese working age population could drop by 225 million individuals (2011-2050).
@kushkatakia @tca_tca @porinju The one-child policy has also resulted in a rapidly aging society in China. According to the Brookings Institute, China already has 180 million people aged over 60, and this could reach 20 % by 2020 and 27% by 2030.
@kushkatakia @tca_tca @porinju With a declining working population and a rising elderly population, the Chinese government will face challenges trying to boost worker productivity (such as enhancing innovation and high-end technology development) and expanding spending on health care and elderly services.
@kushkatakia @tca_tca @porinju I have covered entire China’s true story and pending danger in my blog ...
thebusinessofinvestments.com/2020/07/china-…
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