a reversal in the dependency rate
Interesting piece in the new scientist podcast:
The dependent parts of the population are those under 16 and over, say, 65. Both parts are dependent on the working population. Children for food, schooling, clothing etc. The retired for pensions.
40 years ago there was a baby boom resulting in a high dependency rate. When the baby boomers started work we had a low dependency rate and now with them retiring we are returning to a high dependency rate. There has been a reversal in the dependency rate.
So why the big fuss about an ageing population when we managed alright 40 years ago with the same sort of dependency costs?
The podcast can be found here. A Office of National Statistics animated population estimates graph can be found here.
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