China Hits A Demographic Turning Point

Two good charts from Morgan Stanley show the demographic challenge facing China, which is on the verge of a turnaround, whereby its dependency ratio (which relates to the number of young people taking care of old people) starts to turn down.

The first chart shows the dependency ratio (yellow line) on the verge of a downturn in China, whereas the second one relates to South Korea and Japan.

china demographics

[credit provider=”Morgan Stanley”]

japan korea demographics

[credit provider=”Morgan Stanley”]