Part 7/11:
As the workforce shrinks and the ratio of retirees rises, financial systems designed around population growth, such as Social Security, find themselves at risk. With fewer workers contributing taxes to support an increasing number of retirees, pressures on public services and healthcare systems will escalate dramatically.
The Economic Implications
As the population declines, economic systems will be severely tested. The labor shortage will create unmet demands across various sectors, which could lead to a collapse of the existing systems that were built for communities with growing populations. A notable historical example is Detroit, which experienced a decline in population that resulted in a substantial deterioration of public services.