'This book should serve to guide future discussion about the relationship between population aging and its economic effects in Japan.' - Miki Arimori, Journal of Pension Economics and Finance '. . . a thorough and insightful analysis of the challenges posed by population ageing. Important to those interested in the future of Japan and the other industrialized countries of the world.' - Andrew Mason, East-West Center and University of Hawaii, US 'This insightful book sets an economic policy agenda that can help guarantee the long-term viability of a society whose age structure is heavily weighted towards the old.' - Paul Demeny, Population Council, US 'This book underscores the links between population ageing and all parts of the economy, not just the pension system . . . a timely and important contribution which will be of interest to Japan experts and those interested in population ageing issues worldwide.' - Michael Orszag, Watson Wyatt Worldwide, UK '. . . a book that will be of interest to policymakers in Southeast Asia and China, who in a few decades will confront the same challenges of demographic ageing now being dealt with in Japan.' - Robert Holzmann, The World Bank 'The analysis in this book provides guidance to policymakers elsewhere who will face rapidly ageing populations, as well as evidence that this great challenge can be met.' - Warren R. McGillivray, International Social Security Association 'This important work examines the economic situation in a country where population ageing is proceeding faster and further than in any other country in history and does so using a simulation model that contains more detailed modules on pensions, health, and long-term care than other models do.' - Charles Horioka, Osaka University, Japan 'This book makes a valuable contribution to the literature on the economics of population ageing. It will be useful reading for those working in the areas of population economics, public economics, and demographic change.' - William A. Jackson, University of York, UK Whilst all of the major industrialized countries are currently experiencing population ageing, Japan is at the forefront of this demographic trend. This important new book explores the serious economic and social challenges that a rapidly ageing Japanese economy will have to overcome in the first half of the 21st century. Following a comprehensive review of the economics of ageing both in general and in Japan, the authors present a range of future scenarios produced using an integrated economic-demographic model. This unique model integrates demography and the macro-economy, paying special attention to pensions, health care, and long-term care. The results reveal that, even if future demographic trends are more favourable than predicted, Japan will still experience a slowdown of economic growth, reduced savings, and rising costs of pensions, health care and long-term care. However, with appropriate policy measures and rapid implementation, the authors believe that a situation in which both young and old continue to experience long-term improvements in well-being remains possible. This book is arguably the best available English language survey on the economic implications of population trends in Japan. It will be widely read by researchers of economics, demography, public policy and public finance, and will also provide useful supplemental reading for graduate or upper undergraduate courses in economics, social policy, and Asian studies.