By Toshihiko Hara
This is the booklet to target a brand new phenomenon rising within the twenty-first century: the quickly getting older and reducing inhabitants of a well-developed state, specifically, Japan. The that means of this phenomenon has been effectively clarified because the attainable ancient outcome of the demographic transition from excessive beginning and demise premiums to low ones. Japan has entered the post-demographic transitional part and may be the fastest-shrinking society on this planet, prime different Asian nations which are experiencing an analogous drastic adjustments. the writer used the old statistics, compiled via the Statistic Bureau, Ministry of inner Affairs and Communications in 2006 and inhabitants projections for published in 2012 by way of the nationwide Institute of inhabitants and Social safeguard learn, to teach the previous and destiny improvement of the dependency ratio from 1891 to 2060. Then, using the inhabitants existence desk and internet copy expense, the results of accelerating existence expectancy and declining fertility at the dependency ratio have been saw individually. eventually, the ancient relationships between women’s survival charges at reproductive age, the theoretical fertility cost to take care of the alternative point and the recorded overall fertility fee (TFR) have been analyzed. historic statement confirmed TFR adapting to the theoretical point of fertility with a definite time lag and akin to women’s survival premiums at reproductive age. Women’s expanding lifespan and survival premiums can have inspired choice making to lessen the danger of childbearing. whether the theoretical fertility cost meets the substitute point, women’s perspectives of minimizing the chance may well stay unchanged simply because for girls the cost–benefit imbalance in childbearing remains to be too excessive in Japan. according to the findings, the writer discusses the sustainability of jap society in terms of nationwide funds, social protection reform, kin regulations, immigration regulations and neighborhood polices.
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Extra resources for A Shrinking Society: Post-Demographic Transition in Japan
But the legacy of this welfare policy remains behind. The Japanese pension system is not based on the defined contribution (DC) plan but on the defined benefit (DB) plan. In a DC plan, contributions are paid into an individual account, which is used to provide retirement benefits. In short, the contributor would be the recipient of pension from his own contributions. This system is clear and easy to understand but it depends on one’s performance and the fund also faces security risk. By contrast, in a defined benefit DB plan, the pension is determined by a set of formula linked with wages, years of employment, age at retirement, etc.
In addition, they could not find any good investment methods for their savings, which could stimulate the real economy. 2). That means the working age generation are obliges to support the following generation and the preceding generation. As a matter of fact, both pension and medical care benefits are paid by current workers’ contributions and taxes. And the preceding generation is insured for the late stage of their life as their contributions are recorded during their working age. However, this never means the working age generation should care all of the preceding generation, including those who have enough competent to live by themselves.
It indicates the possible future development on national level, even though it is difficult to imagine the same situation would happen everywhere in the nation. In fact, the population decrease and aging depend on the population scale of the communities. The smaller the population of municipal is, the faster it will lose the inhabitants, the higher the elder proportion and the dependency ratios. In contrast, the greater metropolitan areas, such as Tokyo, these changes are slower. As a result, even though social mobility has decreased, the concentration of population distribution will be preceded more than ever.