Japan's population crisis reaches tipping point | FT Film

About this Video

• Video Title: Japan's population crisis reaches tipping point | FT Film
• Channel: Financial Times
• Speakers: The transcript doesn't name specific speakers.
• Duration: 20:01

Introduction

This Financial Times film explores Japan's declining birth rate and aging population, focusing on the "2025 problem"—the impact of the postwar baby boomer generation entering extreme old age. The video examines the societal, economic, and cultural implications of this demographic shift and considers potential solutions, including immigration.

Key Takeaways

• Declining Birth Rate and Aging Population: Japan faces a severe demographic crisis with an extremely low birth rate (around 1.2 children per woman) and a rapidly aging population. The number of elderly people is at a record high.
• The 2025 Problem: In 2025, the postwar baby boomer generation will all be in their mid-to-late 70s, placing a significant strain on the social security and healthcare systems. The working-age population is too small to sustain the financial burden.
• Marriage and Fertility: A significant decline in marriages further exacerbates the low birth rate. While married women in Japan have a relatively higher fertility rate (1.9), the overall number of couples is declining.
• Economic Stagnation and Wages: Decades of wage stagnation, particularly impacting young people, contribute to the low birth rate. Financial insecurity makes it harder for young people to form relationships and have children.
• Immigration as a Solution: The video suggests that increased immigration is crucial for Japan to navigate the 2025 problem and maintain economic stability. While Japan has quietly increased immigration, it remains significantly lower than in Western countries. The cultural implications of this are also considered. The video explores examples of immigrant communities slowly integrating in Japan.
• Adapting Businesses to Demographic Changes: Companies are adapting to the aging population by shifting their focus to products and services for the elderly, such as adult diapers and modified food products. The funeral industry is also adapting to a rise in deaths and lack of family support.