Abstract
In this study the author examines the effect of the speed of population aging on the financial markets in 11 OECD (The Organisation for Economic Co-operation and Development) countries after controlling the proportion of labor population, the growth rate of real GDP (Gross Domestic Product), the rate of increasing productivity, inflation rate, and the rate of increasing scale of pension market. The author finds that the performance of stock market is affected by complex factors including increasing of average life expectancy, the growth rate of real GDP, the rate of increasing productivity, the inflation rate, the earning rate of stock market and the rate of increasing scale of pension market. Especially, the proportion of economically active people is the most significant factor to explain the stock market performance. Considering the decreasing proportion of economically active people in aging societies, the decrease of productivity and eventually the decrease of earnings from financial markets would be expected.
Original language | English |
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Pages (from-to) | 173-180 |
Number of pages | 8 |
Journal | Investment Management and Financial Innovations |
Volume | 14 |
Issue number | 1 |
DOIs | |
State | Published - 2017 |
Bibliographical note
Publisher Copyright:© Hyung-Suk Choi, 2017.
Keywords
- Aging society
- GDP growth
- Pension fund
- Stock market performance