Advantages and Disadvantages of Aging Population in Japan

Advantages and Disadvantages of Aging Population in Japan

1. Disadvantages

   • Workforce
     • The labor force will have shrunk to 5.3 million by the year 2015
     • Passport control at Tokyo's Airport most of the employees are of pensionable age
     • Taxi drivers and Shopkeepers are mostly elderly
     • In 2025 there will be only 2 workers paying taxes to support pensioners
     • Shortage of Japanese workers has led to 200,000 foreign workers to come and work illegally
     • Women being encouraged to work and men are being encouraged to work after retirement
   • Pensions
     • Pension reforms made in 2005
     • Rise in age of retirement
     • Pensions are predicted to fall unless birth rate increases rapidly
   • Health Care
     • Increasing number of elderly in care homes
     • Payment for elderly care accounts for half of Japan's health budget
     • In 2000 a tax for over 40s was introduced for the payment of elderly equipment (e.g wheelchair)
     • New health insurance scheme for over 75s introduced in 2008 (hurry up and die scheme). Used as an incentive to shorten days in hospital for elderly
     • There has been an increase in the number of nursing homes but there still aren't enough for the requirement number.

2. Disadvantages

   • The Greying Yen
     • 'Grey boom'
     • More pensioners are spending more on luxury items
     • Could lead to a growth in the ecomomy
   • Technology
     • Technological explosion
     • Inspired a ray of gadgets for the elederly
       • Online kettle automatically sends an email to 3 people when switched on
       • Internet linked sensors can be attached to home objects
         • Bathmats
         • Fridges