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    293711

    Population changes, international competitiveness and growth.

    Boeri T

    Genus. 2005 Jul-Dec; 61(3-4):185-192.

    I was asked by the organizers of this international conference to discuss, in my presentation, the effects of ageing on competitiveness. I will start by arguing that the key economic issue involved by ageing is growth rather than competitiveness per se, as ageing may reduce the growth potential of nations. I will however point out that there is nothing unavoidable about this effect of ageing on growth. Reforming pensions and labour market institutions in order to better exploit returns from experience, it is possible to counteract the effects of a declining workforce on growth and sustain a relatively high rate of capital accumulation even under older societies. But there are strong political obstacles to these reforms. These political obstacles should be fully understood, it is still a matter of positive economics, and possibly counteracted (the domain of normative economics). (excerpt)
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