Japan the country considered as one with the innovative minds and smart adoptions. The land of the rising sun is facing a dilemma as the sun sets on the majority of its population. This can have a negative effect on the nation. The controversy of whether to take hard core steps for saving and uplifting the younger population or to allow young immigration as US, AUSTRALIA, UK etc. have expertise in. At the same time the population of the country has a contraction of population which is expected decline by a further 30% existing 127 million over the next few decades.
The aging of the Japanese population is a result of one of the world’s lowest fertility rates combined with the highest life expectancy, along with rise in number of working women that has increased from 1990 to 2010. The number of unmarried people in the country has also risen due to the modern world influence and has contributed to the growing population of the country.
Japan has become 4th most developed country in Asia because of its demographic population post WW-II; as in 1940’s most of the legs were young and active; about 40% of the population were below the age of 29 and had contributed for the country’s growth. Same population is now a bug to the nation, as life expectancy of people has gradually improved over the years and average person in japan lives as much as 87 years with long term care benefit.
The elderly population has grown over the years as difference of death ratio vs. birth ratio. Japan has 26% consisting of above 60 years of age. And has direct impact on the labor force. About 35% of the labor in japan is above 55 years of age. Government took some measures to support businesses and jobs by extending the retirement age by 5 years, from 60 to 65.
Comparing Canada which has the same situation as seniors surpassed young children. But Canada has welcomed people across the globe to fill the gap. Over the issue of immigration the argument is of the current density of the country which is highly populated especially in cities like Tokyo and dissimilar from Canada which has considerably 35 million populations. And also Japanese have a great respect for its tradition and wants to preserve it.
The positive side of this can be the Japan’s originality in their decision; unlike copying Canada, south east or other nations. They will rather focus on automation then on increasing population. The robotic generation is the ultimate solution for the nation. For fulfilling the requirement Japan has ideal situation opting for robotics contrasting other countries in the world which suffers employment crisis.
India can be compared to Japan as India currently is at a stage where japan was 50 years ago i.e. WW-II
India lags 50 years, which is a good and positive sign; currently India has an average age of 27 years, which japan had in 1960’s. Japan’s step to overcome the ageing issue can be a lesson for the world.
By Madhav Ashar
The Economic Transcript- June 2017 Issue