Old-age dependency ratios

Continued increases in longevity will ensure that the old-age dependency ratio,which measures the number of elderly people as a share of those of working age,will rise sharply in most countries over the next 40 years,according to the European Commission. The biggest absolute increase will be in Japan,where the ratio of 35.1 per cent in 2010,already the world8217;s highest,will more than double,to 73.8 per cent,by 2050. At that point,the number of pensioners in China will be equivalent to 38.8 per cent of its labour force,up from 11.6 per cent in 2010. The European Union,which had 84.6m elderly people last year,will have 148.4m in 2050. And the ratio for the world as a whole will reach 25.4 per cent,up from 11.7 per cent in 2010.

The Economist Newspaper Limited 2009