Social Democracy
In the wake of the recent global financial crisis, the economic policy formation is worthless without discussing the demography of any nation. The adequacy of distribution of demography of various age group has precedent impact on economic health of nation. The paradox of this exist in the world today. On one hand the greying population of European nations, Russia and Japan is causing a huge burden on ex-chequer due to social welfare scheme, at the same time India and China has some different characteristic problem. The demographic curve has acquired the "CONE" shape, and the governments are finding it difficult to manage the various welfare schemes; which was one of the cause for Greece crisis also.
China is facing 1-2-4 problem on hand and loosen the string a bit in the child policy front, as demography has lopsided, India on the other hand is at positive front as far as the its demographic distribution is concerned. It is enjoying burgeoning WAP at this moment. This will factor in the tax collection part which ultimately support the social security measures of the country.
Thus one can not underestimate the demographic transition as major driving force to plan and decide the socio-economic condition of a state. Ageing strikes at the very roots of the welfare state and the social contracts on which social democracy rests.
The population out of the premises of non-WAP (<15 and >64)usually need support from earning class of the population (WAP). If the nature of the population distribution is skewed, it will lead to social imbalance and instability. So as a separate field of study, demography has to be a manageable affair of the society which need to be focused upon.
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