The Impact of Workforce Aging on European Productivity

The Impact of Workforce Aging on European Productivity
Author: Mr.Shekhar Aiyar
Publisher: International Monetary Fund
Total Pages: 29
Release: 2017-01-18
Genre: Social Science
ISBN: 1475569491

The age-distribution of Europe’s workforce has shifted towards older workers over the past few decades, a process expected to accelerate in the years ahead.. This paper studies the effect of the aging of the workforce on labor productivity, identifies the main transmission channels, and examines what policies might mitigate the effects of aging. We find that workforce aging reduces growth in labor productivity, mainly through its negative effect on TFP growth. Projected workforce aging could reduce TFP growth by an average of 0.2 percentage points every year over the next two decades. A variety of policies could ameliorate this effect.

Aging and the Macroeconomy

Aging and the Macroeconomy
Author: National Research Council
Publisher: National Academies Press
Total Pages: 230
Release: 2013-01-10
Genre: Social Science
ISBN: 0309261961

The United States is in the midst of a major demographic shift. In the coming decades, people aged 65 and over will make up an increasingly large percentage of the population: The ratio of people aged 65+ to people aged 20-64 will rise by 80%. This shift is happening for two reasons: people are living longer, and many couples are choosing to have fewer children and to have those children somewhat later in life. The resulting demographic shift will present the nation with economic challenges, both to absorb the costs and to leverage the benefits of an aging population. Aging and the Macroeconomy: Long-Term Implications of an Older Population presents the fundamental factors driving the aging of the U.S. population, as well as its societal implications and likely long-term macroeconomic effects in a global context. The report finds that, while population aging does not pose an insurmountable challenge to the nation, it is imperative that sensible policies are implemented soon to allow companies and households to respond. It offers four practical approaches for preparing resources to support the future consumption of households and for adapting to the new economic landscape.

The Economics of Aging

The Economics of Aging
Author: David A. Wise
Publisher: University of Chicago Press
Total Pages: 428
Release: 2009-05-15
Genre: Political Science
ISBN: 0226903222

The Economics of Aging presents results from an ongoing National Bureau of Economic Research project. Contributors consider the housing mobility and living arrangements of the elderly, their labor force participation and retirement, the economics of their health care, and their financial status. The goal of the research is to further our understanding both of the factors that determine the well-being of the elderly and of the consequences that follow from an increasingly older population with longer individual life spans. Each paper is accompanied by critical commentary.

Golden Aging

Golden Aging
Author: Maurizio Bussolo
Publisher: World Bank Publications
Total Pages: 363
Release: 2015-06-23
Genre: Business & Economics
ISBN: 1464803536

Compared to other regions, Europe and Central Asia are by far the oldest. Moreover, population aging is set to accelerate further over the coming decades as large segments turn old. Additionally, some countries such as Russia and certain Eastern European countries are facing a shrinkage of their population. Against this backdrop, this report investigates what stands in the way of societies reaping the full benefits of increased longevity--that is, longer lives and potentially prolonged payoffs from human capital--and what can help to mitigate the possible negative impacts of a smaller and older workforce. Beginning with a focus on demographic trends, the report puts the rapid decline in fertility and contrasting migration trends in the region in a historical perspective and looks forward to the varying paths that population change may follow in the region. Next, it examines the evidence on the likely impact of demographic change on growth and savings, the labor force, firm and economy-wide innovation, poverty and inequality, and intergenerational solidarity. Finally, the report goes beyond diagnostics and puts an emphasis on what we know regarding successful policy interventions, presenting evidence on what has and has not worked in the past.--Publisher description.

Older Workers

Older Workers
Author: Wieteke Conen
Publisher: Aksant - Knaw Press
Total Pages: 0
Release: 2013
Genre: Age and employment
ISBN: 9789069846651

A timely overview of European employers' attitudes toward older workers, this book closely analyzes the Dutch experience and comparative examples drawn from a range of other countries. Wieteke Conen demonstrates that across Europe, and especially in the Netherlands, employers tend to blame higher labor costs and lower productivity on an aging workforce. As a result, they avoid hiring and--in some cases--retaining older workers, eschewing other strategies that might help bridge the perceived gap between costs and productivity. Exploring some of these alternative strategies, Older Workers reveals how employers and the government could increase labor force participation among this growing population.

Demography of Aging

Demography of Aging
Author: National Research Council
Publisher: National Academies Press
Total Pages: 424
Release: 1994-02-01
Genre: Social Science
ISBN: 0309050855

As the United States and the rest of the world face the unprecedented challenge of aging populations, this volume draws together for the first time state-of-the-art work from the emerging field of the demography of aging. The nine chapters, written by experts from a variety of disciplines, highlight data sources and research approaches, results, and proposed strategies on a topic with major policy implications for labor forces, economic well-being, health care, and the need for social and family supports.

Managing the Aging Workforce

Managing the Aging Workforce
Author: Marius Leibold
Publisher: John Wiley & Sons
Total Pages: 240
Release: 2007-06-27
Genre: Business & Economics
ISBN: 9783895786112

Managing the Aging Workforce is one of the crucial topics for many of the world ́s enterprises. The increasing average age of populations does not only affect social systems, countries and communities, but also has a strong impact on the work of businesses and companies. The decline in demographic fitness will not only hit countries like the U.S., the Western European countries, or Japan, but also the upcoming societies in China or in the Eastern European countries. In many of these countries, during three or four decades the average age will grow from about 40 years now to about 50 years. Where experts are needed, this may result in an increase of the workforce's age of between 5 and 10 years in only one decade. For companies thus, a number of challenges arise that have to be overcome fast and continuously. The main topics in this field will be new strategies in leadership, new concepts in health management, new ways in knowledge management and learning, as well as new models how to drive ideas for diversity and innovation. On the one hand, enterprises therefore will have to invest in their aging employees for supporting their talents, helping them to learn and keeping them in the company. On the other, they will have to increase productivity, keep on searching for new products, and integrate experts from abroad. This has to be combined with new ways of strategies and HR management. This book presents an analysis of the present and upcoming situation, and an introduction into the strategic concepts enterprises will need to survive in aging societies.

Emigration and Its Economic Impact on Eastern Europe

Emigration and Its Economic Impact on Eastern Europe
Author: Mr.Ruben Atoyan
Publisher: International Monetary Fund
Total Pages: 48
Release: 2016-07-20
Genre: Social Science
ISBN: 1498367453

This paper analyses the impact of large and persistent emigration from Eastern European countries over the past 25 years on these countries’ growth and income convergence to advanced Europe. While emigration has likely benefited migrants themselves, the receiving countries and the EU as a whole, its impact on sending countries’ economies has been largely negative. The analysis suggests that labor outflows, particularly of skilled workers, lowered productivity growth, pushed up wages, and slowed growth and income convergence. At the same time, while remittance inflows supported financial deepening, consumption and investment in some countries, they also reduced incentives to work and led to exchange rate appreciations, eroding competiveness. The departure of the young also added to the fiscal pressures of already aging populations in Eastern Europe. The paper concludes with policy recommendations for sending countries to mitigate the negative impact of emigration on their economies, and the EU-wide initiatives that could support these efforts.