dependency ratio

• why are non working old economically dependent?

  -need to be provided for by working age

  -through: taxations to pay for pensioners & health care
• what does rise in retired people lead to?

  -increases dependency ratio

  -increases burden on working population
• weaknesses


  -wrong to assume 'old' equals 'economically dependent'

  -while increase in number of old people raises dependency ratio, in ageing population this is offset by declining number of dependent children