Europe’s getting old

Currently, Eastern Europe and Russia radically has changed. The essence lies in changes which will have long term consequences as as political and economic aspects of the last 17 years.
Researchers estimated that 2025 this region will become a grandfather and grandmother in the world’s richest. If you can trust the forecasts in these areas the population will decline by 24 million. ¼ of the population at the year 2025 of the former Soviet republics will be between the ages of 65 and more years.

This transition period with populations aging is a unique phenomenon. For the first time in the history market economy and social science institutions faced with the problem, which is difficult to evaluate analytically. In countries where free market economy is still in development process mostly exactly the opposite tendency is observed.

Economists estimate that Eastern European countries are at risk of huge spending increases of social welfare. This is because the number of people receiving pension will double. While the number of tax payers will fall. The latest World Bank report’s authors have expressed an opinion that the whole massive regions economic development is under the risk. Research findings should raise concerns in the West and East.

National governments should make economic reforms. Increase the age of pension, which in this area is quiet low. Provide support programs for people who take care of elderly at home, since hospitals are more expensive. If such long-term policies begin to realize today, many countries would be able to balance its budget so that the concerns about the aging population in the future will reduce.

For western politicians the former USSR and Eastern European countries with their aging population should also be considered as a serious threat. The biggest threat for old Europe countries is loss of labor force. It is based on a fact the in new European countries the level of life might raise and it will make emigrants return home. Germany as a result, may lose a large part of Polish migrant workers. While the British – construction workers, waitresses and hotel staff. It is very likely that the future EU politicians have to deal with workers searching elsewhere. The three most reliable sources of labor that might fill Europe’s labor market are Turkey, Central Asia and North Africa. There is still a very high birth rate and people seeking to leave for profit to the west.

Advertisements

3 thoughts on “Europe’s getting old

  1. I really like this article because aging population is one of the main current problem in Europe. I think that European countries hadn’t seen it coming, that’s why they really need to implement some reforms in order to protect their economies.
    However, I think that these reforms are not enough to solve this issue. Indeed, for me, the main reason why Europe is getting older, is as you said : the weak birth rate in some Europe countries such as Spain or Italy where the rate is about 1.2%. At the same time, the life expectancy rate is getting higher. I also agree with the fact that immigration can be one of the solutions because in North Africa for example, the birth rate is high while poverty is still high.
    In order to manage this matter, Europe will have to invest money, create jobs and maybe push back the retirement age.

    Finaly, I think that this is also bad for the future of the EU because without any solutions or changes, Europe will lose its competitivity in the World.

    Reply
  2. I agree with the person above that Europe’s aging population is beginning to become a very big problem and having some real effects on us.The most important effect will be the impact is has on national economies. Experts are predicting that a significant loss of workforce coupled with high unemployment and deficit, many countries will completely restructure. Many countries have raised their retirement ages to temporarily alleviate the burden that baby boomers will have on national welfare systems, but there are fears that, without the proper regulations to ensure that immigration and workforce productivity keep rising, much of Europe will be experience a slow and steady economic decline. Immigration laws may also have to be changed to allow workers to come into Europe to replace workers at retirement age. Although this will bring with it a whole load of other problems.

    Reply
  3. I think the aging population is one of the biggest problem of European economies and Europe in general. It will also be hard to find some solution. Because every year the problem will be bigger and bigger. Maybe it would be good to offer special support for young parents, for example until 30 years old. In my opinion it’s one of the way which could work to make situation better.

    Reply

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s