The Influence of China's Aging on Scientific and Technological Innovation

Abstract

Since 2000, China's growing aging population, aging is not only on behalf of the staff labor reduce because of a decline in the physical quality of the staff led to enterprise's labor costs rise, also on behalf of the demand for pension increase, it is a big spending for governments, for the whole society, pension costs are also on the increase. Technological innovation means that there is a constant flow of new ideas, and there is a huge demand for capital, and if the government is already spending a lot of money on pensions, it is very difficult to subsidize companies to innovate new technologies because the government's spending may be more than their total income. So far, aging will inhibit the development and innovation of science and technology to a certain extent, and it will also affect negatively the economic and social development of our country. This paper will be divided into two parts, respectively the theoretical analysis part and the empirical part. The theoretical analysis part will combine the previous existing literature and the recent years of our technological development to analyze whether aging really suppresses the technological innovation. The empirical part will collect the data of population over 65 years old from EPS database from 2000 to 2022. Based on the theoretical hypothesis, the existing model will be used to analyze whether the aging degree will have an impact on scientific and technological innovation. The significance of this paper is that if population aging and scientific technology innovation can be included in the same framework, the interaction between them can be further developed.