Social Security Insolvency
The surge in U.S. birth rates between the mid-1940s and mid-1960s implies that an increasing share of the population will be retired in the coming decades. The so-called aged-dependency ratio is projected to rise 66% by 2030 and to double between now and 2070. Thus, maintaining retirees' living standards will require higher output per worker and/or redistribution of a larger share of of output toward the nonworking elderly.
Suggested citation: “Social Security Insolvency,” Federal Reserve Bank of Cleveland, Economic Trends, no. 97-05, pp. 14, 05.01.1997.