Almost every rich country in the world faces (problems) of the welfare state which are technically fixable by reducing entitlements, raising retirement ages and working healthcare costs. But the one thing you can’t change is demographics.
Almost every rich country in the world (is going to get) older and older and older.
All these older people are going to have to draw benefits and pensions. Even more importantly, this means fewer young workers will be on hand to pay taxes.
At the end of the day, this is why the Japanese system has found it so difficult to get growth back. It is the first major country in the world that is experiencing actual population decline. Italy is next on that list. Germany is not far behind. Even China is going to face a demographic challenge.
The United Nations just released a report, which (said that) in the next 30 to 40 years, China is going to lose 100 million people. No country has ever been able to be a vibrant, great power without being demographically vibrant.
The United States is the huge exception to the rule of (rich countries) shrinking. The U.S. is going to be growing in population for the foreseeable future. By 2050, the U.S. will have 400 million people.
American demographics remain very healthy. (While) all the other countries go through this ageing cycle when they grow rich, America is the exception.
