Briefly describe some of the demographic trends that are predicted to increase the government’s budget deficit.

Advanced Placement (AP)

1 answer:

Lera25 [3.4K]3 years ago

8 0

Answer:

The main demographic factors that predict an increase in the fiscal deficit in the future are, on the one hand, the progressive aging of baby boomers, who reach retirement age and withdraw from the labor market, thereby beginning to withdraw their funds. pension; and on the other hand, the low birth rate that began to be experienced in the 1990s, with which the population proportion of working people is increasingly lower, with which the government collects less taxes and has the need to maintain to more people.

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