November 26, 2004


Greying nation facing huge bill
(Stefanie Balogh and Luke McIlveen, November 25, 2004,

AUSTRALIA's rapidly ageing population will force governments to find an extra $2200 billion over the next 40 years to meet the drain on health care and other costs.

A draft Productivity Commission research report sends a dire warning to governments about the need to act now to combat the problems of a greying population or face financial ruin.

It estimates the extra pressure on government spending will be 7.1 per cent of gross domestic product by 2044-45 – or around $5100 a person in that year alone.

From now to 2044-45 the commission estimates the accumulated shortfall in government spending will be around $2200 billion.

The drain on governments will come from the growing army of senior citizens.

The number of older Australians is expected to double in 40 years.

In 2044-45 there will be about 7 million people over 65 compared with about 2.5 million now. They will represent one in four Australians.

The potential blue-rinse economic disaster is being driven by people living longer and having fewer children.

Which is why Family First is the most important political development outside America.

Posted by Orrin Judd at November 26, 2004 2:27 PM

Have you ever read their platform? If anybody has any disposible income left after they're finished taxing everyone for their nanny state run amok, I'd be amazed.

Posted by: Bart at November 27, 2004 3:31 AM
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