By Organisation for Economic Co-Operation and Development

ISBN-10: 9264021094

ISBN-13: 9789264021099

Publication by way of corporation for financial Co-Operation and improvement

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1 percentage points per annum over the next 50 years, relative to the growth rates experienced over the period 1980-2000. 9 percentage points, respectively. However, the impact of slower or negative labour force growth on economic growth could be offset by either a rise in total factor productivity growth or faster growth in capital inputs. Nevertheless, a shrinking labour force could lead to severe labour shortages in certain occupations, especially in those areas such as nursing and long-term care where labour demand will expand as a consequence of rapid growth in the elderly population.

Recent economic developments and labour force participation Following the collapse of Japan’s “bubble economy” in the early 1990s, economic growth has been anaemic. 9% during the previous decade. 3% over the previous decade. 4% in 2002. 1). For men aged 55-59, there was a slight increase over the 1990s in comparison with almost unchanged participation rates for prime-age men (25-49) and men in their early 50s. For women both in their early and late 50s, participation rates over the past 10-15 years have risen in line or even slightly faster than the long-term trend rise in participation rates for prime-age women.

Participation rates by age and gender in Japan, 1970-2002 Percentages 15-24 25-49 50-54 55-59 100 100 95 95 90 85 60-64 65+ 90 Men 85 80 80 75 75 70 70 65 65 60 60 55 55 50 50 45 45 40 40 35 35 30 30 25 25 20 20 15 15 10 10 5 5 0 1970 1974 1978 1982 1986 1990 1994 1998 2002 Women 0 1970 1974 1978 1982 1986 1990 1994 1998 2002 Source: Labour Force Survey. For those aged 60 and over, the situation has been very different. For men aged 60-64, participation rates initially rose during the 1990s but have been declining since around 1994.

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Ageing and Employment Policies: Japan (Ageing and Employment Policies) by Organisation for Economic Co-Operation and Development


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