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The Global Demographic Crunch

Urbanization. Higher education. Lack of female participation in the workforce. Longer life expectancies. The causes are many, but the effect is the same: The world is headed toward a demographic crunch. Aging societies deplete labor pools and raise entitlements costs, the payments for which are passed on to a shrinking number of people able to afford them. Economies with fewer but more expensive workers tend to resist stimulation, and as economic growth slows, only the governments with the innovative spirit, and the political will, to adapt to the times will able to do more with less.

Economies with fewer but more expensive workers tend to resist stimulation, and as economic growth slows, only the governments with innovative spirit, and the political will, to adapt to the times will able to do more with less.
(H. Armstrong Roberts/Retrofile/Getty Images)
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