The problems of inadequate pension savings are not just an issue in the developed world. China in particular with an ageing population and decline of the traditional family unit where younger members looked after the elderly is creating challenges. In an article in The American Interest they point out that due to the one-child policy, low birth rates mean that in decades to come China’s increasing pension burden will fall on a shrinking work force.
The Chinese have attempted some reforms but they remain wholly inadequate to arrest the scale of the problem.
This article was attributed and provided by PG International