Analysis of the Impact of Population Aging on the Economy and Countermeasures —— Take China as an Example

Abstract

Since the reform and opening up, China's population aging has gradually deepened, and nowadays, population aging has become one of the most concerned issues for China's economic development. Therefore, the research theme of this paper is the current situation and development trend of population aging in China and specifically analyzes the impact of population aging on economic development in terms of labor supply, employment, and investment. The research methods of this paper are literature analysis and data analysis. It is found that the proportion of China's aging population in the total population is already greater than 16.7%, and it will accelerate in the future. And the rise of the aging population has different degrees of negative impacts on labor supply, employment, and investment, and has an inhibitory effect on economic development. Therefore, this paper suggests that in the face of the challenge of population aging, the state can increase the investment in human capital, encourage enterprises to innovate, and improve production performance through new technologies. Rational use of the demand generated by aging, and the development of the service industry to increase employment.