Our planet’s population is hitting a plateau and shrinking in some areas, which will have broad impacts. Countries currently enjoying strong growth could see that stop if labor supply does not keep up with demand.
These countries need to address these shortages through proactive tasks, such as:
a) Increase productivity through investment, innovation, and education,
b) Increase the labor force participation rate of women and elderly,
c) Change immigration policy,
d) Increase the number of hours each person works per year,
e) Higher birth rates (yet, there is no impact for 15-20 years).
Without productivity increase, the smaller workforce (currently about 4 billion working people in the world) means lower consumption and constraint on economic growth.
How will your company be affected without productivity increases?
