Trend Trend G: Post-population-growth economy

Summary

Korea's growth model is losing its premise of a growing population. A new normal of shrinking labour supply, slower growth and weaker productivity, and changing financial and property structures is emerging, together with a shrinking tax base and heavier welfare and pension burdens. The trend sits under the megatrend of demographic change and transition to a shrinking society. Its issues cover labour market restructuring, slowing industrial growth, the reshaping and volatility of capital and financial markets, rising welfare and pension burdens, and a shrinking tax base that forces fiscal restructuring. In the issue network, labour market restructuring ranked among the most connected issues with a degree centrality of about 0.19, and the welfare and pension burden and slowing industrial growth also made the top ten.