ABSTRACT
Within the past thirty years, Korea has experienced massive political, economic, demographic and social changes that in many OECD member countries transpired over a much longer time period. Better living conditions arising from rapid economic growth increased Koreans’ average lifespan by twenty years in just forty years, while the fertility rate is the lowest in the world, at 1.19 (as of 2008). Increasing life expectancy and a decreasing fertility rate make Korea the fastest ageing country in the world. Consequently, as discussed in previous chapters, the percentage of economically active people will decline in the years ahead. In addition to these demographic trends, a sharp increase in the number of nuclear families has disrupted the traditional informal income support for the elderly.
