As the life expectancy of the world‘s population lengthens and the birth rate declines, new approaches are needed to address social and economic challenges. A study by the World Economic Forum details the principles to follow to guarantee the well-being and prosperity of society in the midst of this demographic paradigm shift.
The success of socioeconomic development causes the aging of the population. To the improvements in nutrition, medicine, sanitation, education, and economic well-being that lengthen the life expectancy of the population, is added a reduction in the birth rate, either due to the exodus of the rural population to large cities or because people have other priorities.
The fact is that the world is aging rapidly. People over 60 years of age already represent 11% of the world‘s population and, by 2050, this figure will increase to 22%. In Spain, it is expected that on this date there will be 23.3 million people over 50 years old, half of the population.
This will have an important economic and social impact. As life expectancy lengthens, the proportion of the larger population that is economically dependent increases, at the same time that there are fewer people who can contribute to paying the pensions of an aging population.
In other words, it is difficult to guarantee the well-being of this aging population. According to data from the World Health Organization, while life expectancy has increased by more than 6 years from 2000 to 2019, healthy life expectancy has only increased by just over 5 years.
Therefore, it is necessary to implement new measures to ensure that the longevity economy is not at odds with the well-being of the entire population and has a positive impact amid the changing global demographic landscape.
The report presented by the World Economic Forum recognizes that it is not easy to address the problems of longevity at the global level since each country has a different reality. However, it proposes a set of six principles to which companies, governments, and societies can subscribe:
1. Ensure financial stability in the face of key life events.
2. Provide universal access to financial education.
3. Prioritize healthy aging as a foundation for the longevity economy.
4. Evolve occupations and the development of skills throughout life to promote a multigenerational professional life.
5. Design systems and environments for social connection and purpose.
6. Address longevity inequalities, including gender, race, and class differences.
These principles aim to protect people from falling into poverty due to key life events, provide financial education, promote healthy aging, adapt occupations to demographic changes, encourage social connection, and address inequalities in longevity.
The study emphasizes the importance of addressing these issues to ensure the well-being and prosperity of society in the face of the demographic changes brought about by increased life expectancy. The implementation of these principles can help ensure that the longevity economy benefits all members of society, regardless of age, gender, race, or class.