Examine the impacts of aging populations.

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Name Course Tutor Date Impacts of an Aging Population An aging population is an occurrence that happens when the median age of people in a certain country rises due to an increase in life expectancy or else a decrease in fertility rate. Indeed life expectancy has risen significantly in the twentieth century especially in the developed countries. On the other hand, a decrease in birth rates with an increase in life expectancy has led to many people worrying about the effects of an aging population. Indeed, in this essay, we are going to examine the impacts of an aging population. One of the impacts of an aging population is that it will lead to a rise in the dependency ratio. This situation means that the aging population will highly depend on the younger population to meet their day to day needs. Indeed with an expanding life expectancy, there will be a rise in the aging population claiming pension benefits while fewer people will be working and paying income tax (Morley& John, 392-397). Therefore, for the government to pay the pension benefits, it will be required to raise their tax rates on the declining working population. Indeed, this event may lead to a decrease in the disposable income of the working force and also they may quit their jobs due to heavy taxation. Another impact of an aging population is that it may cause a rise in government expenditure on providing the required health care on the aging population and also pay their pensions. Indeed the government has to pay the pensions to the elder people who on the other hand pay lower taxes since they are not working. This impact has been a major burden to many governments leading a large number of

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