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6min chapter
Morgan Housel
ACQ2 by Acquired
The Impact of Demographics on Economic Growth and Living Standards
This chapter discusses how declining populations in countries like China, Japan, Russia, South Korea, and Italy will lead to lower economic growth. It explores the relationship between population growth, productivity growth, and economic growth, as well as the potential effects of reduced workforce and aggregate productivity on interest rates and returns on invested capital. It also presents the optimistic perspective of how lower growth rates can still maintain a comparable standard of living, using Japan as an example.
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