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Aging in the Asian “Tigers”: Challenges for Fiscal Policy

Author

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  • Mr. Peter S. Heller

Abstract

The paper assesses the government expenditure effects from changing demographics in the Asian “Tiger” economies through 2050. With some exceptions, their limited social insurance commitments initially suggest that aging populations may not adversely affect fiscal balances. Yet for all the Tigers, changing illness patterns and medical modernization may combine with demographics to intensify budgetary pressures. The paper notes the implications of the Tigers’ reliance on private sector pension and medical insurance systems; the need for an active public role; and the complications for fiscal analysis when private sector instruments are used, in a mandatory way, as public policy instruments.

Suggested Citation

  • Mr. Peter S. Heller, 1997. "Aging in the Asian “Tigers”: Challenges for Fiscal Policy," IMF Working Papers 1997/143, International Monetary Fund.
  • Handle: RePEc:imf:imfwpa:1997/143
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    Citations

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    Cited by:

    1. Heller, Peter S., 1999. "Aging in Asia: Challenges for fiscal policy," Journal of Asian Economics, Elsevier, vol. 10(1), pages 37-63.
    2. Polackova, Hana, 1998. "Contingent government liabilities : a hidden risk for fiscal stability," Policy Research Working Paper Series 1989, The World Bank.
    3. Asher, Mukul G., 2002. "The Role of Global Economy in Financing Old Age: The Case of Singapore," Discussion Paper 79, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.

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