Demographic Components of Population Aging in South Korea

Abstract

This study examines the contribution of demographic components such as fertility and mortality to population aging in South Korea from 1970 to 2070. To investigate the demographic sources of population aging, this study used three approaches: (1) stable population models, (2)population simulation models comparing actual outcomes with counterfactual population projections, and (3) the decomposition of the rate of change in mean population age into its demographic components. The results indicate that, across different methodologies, fertility decline was the main driver of population aging over the past 50 years. However, the effect of mortality change has increasingly bigger influence and is likely to have a major effect on the future development of population aging in South Korea. Given that mortality plays a major role in future population aging, institutional arrangements such as the extended retirement need to be put in place to adapt our life cycle to the changing circumstances. Furthermore, comprehensive health policies covering the entire life cycle need to be improved in order to enhance the health status of older people in the aging society.