The economics of rising the retirement age

The latest demographic complexities as well as reduced returns from investments are posing a major threat to keeping employees who have reached their retirement age longer at their jobs. This realization has hit major first world governments.Advertising We will write a custom essay sample on The economics of rising the retirement age specifically for you for only $16.05 $11/page Learn More These governments have reacted swiftly and are proposing to increase the retirement age. Ironically, the retirement age is currently at 63, which is one year lower that the 1970s. This means that the governments see the need to raise age of retirement as the best means to keep the cost of pension affordable. The increase of retirement age may not be such a problem to countries struggling with an aging work force provided the countries balance the supply of the work force with the rate of retirement. However, this may be a problem because latest statistics indicate that life expectancy and fertility rates are declining. Therefore, the said governments are facing the challenge of having an increasing population but which has a reduction in fertility and productivity. The economies of these countries are therefore less productive than they should. There are advantages though of rising the retirement age of employees in these countries. Governments get to benefit on two ways. Firstly, these employees add to the government revenue in form of taxes. Secondly, and as mentioned earlier the governments get to keep their pension bill down. While people argue that working for longer increases the countries productivity, economists have raised the concern at the quality of their production by such an old aged work fore. The agreement is build on he fact that older people cannot be expected to be optimally productive at demanding jobs. Actually this amounts to paying a significant percent6age of employees to do nothing that is of value to the economy (Thomas para 1-6).Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More The debate to increase the retiremen6 age began in the early 1980s in developed counties especially USA. The idea was informed by the fact that citizens were living longer than expected. To keep theme economically productive the countries proposed the increase in retirement age. Suffice to say that the experience of age is also another factor that makes the aging population marketable at the job place. However there was a worry about the rising cost of pension (Schulz 164). While the argument was met by a quick response that the cost would be met by encouraging some of the employees to retire early, the argument does have various shortcomings. The argument does not consider those employees who retire involuntarily especially due to such factors as poor health, unproductivity or even retrenchment. This argument does not answer the qu estion whether an older workforce will be able to meet the productivity demands. Rising the retirement age is purposed at ensuring the retired population becomes self sustaining; that they will have something to0 live on in their sun set year. While it is vital to focus on the aging population and make it self sufficient, countries risk several things. To begin with countries raising the retirement age risk overburdening the young working population. This is happens in two ways; reducing the number of jobs available and using more of their taxes top pay of their older and aging working colleagues. Several government have notice these risk and have also opted to focus on the young population. Several pension schemes are used in a number of countries. They range from automatic enrollment into saving schemes.Advertising We will write a custom essay sample on The economics of rising the retirement age specifically for you for only $16.05 $11/page Learn More These mean that a citizen is automatically enrolled into the pension scheme upon attainment of a certain age. Some other countries opt for compulsory enrollment, and use a tax incentive to motivate the younger working population to save fro their old age. Record show that when the young have earned a tidy sum they may either spend it recklessly upon retirement (Morgenstern paea 1-4). This proves that the government should not merely focus on making the young ones save for their old. The savers attitude and knowledge upon retirement is crucial. Governments should focus a little more attention to educating the people on how to manage their pension upon retirement. Thus the success of a sustainable pension scheme is not just the government’s efforts to save but also how the people manage their retirement benefits. For instance saving for life and then only to use pension to pay for debt accumulated over the period of ones life is not economically sensible. Those in support of t he efforts to raise the age of retirement assert that it will boast and stabilize the social security of a country. This will be achieved through stabilizing the pension industry as fewer employees will be pensionable in the foreseeable future. Furthermore, a reduced pensions bill will reduce the raising national budget deficit created by t ever increasing need to take cater of the aged population in a country. Raising the retirement age is also seen as one of the options of for reducing national budget deficits (Mckinnon , Boles And Vaughan Para 9). This is usually a valid reason at face value. It prep supposes that no one wants to retire and that all professions will be bound by this rule. However a clearer look at the situation presents a more complicated picture. Stability of the pension industry is just a future dream. This is because the changing demographic dynamic makes it impossible to have an accurate estimation on pension needs in the years to come.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Furthermore it is also difficult to estimate on average when the current generation of retiring employees will die. Such complexities present glaring hard truths about the uncertainties of the future especially for the aging population. The idea of rising the retirement age has been mooted by those who think that it is an effort to provide money for retirees to spend. This is hoped to ramie the spending level of the entire nation and as such will provide enough business for the younger generation. (Altmann para 6). Furtyrmore efforts to estend the working life is seen as a way of retaining essential profession skills necessary for economic development (para 8). This therefore implies that the baby boomers are the key pillar for economic growth and sustenance. Will be able to be of economic benefit both to the economy as well as to themselves. Te assumption is this case is that all retirees will be wise spenders of their retirement benefits. Furthermore this argument also assumes tha t allowing the elderly to continue working does have an overall positive effect on the economy. As in deed mentioned earlier, the argument also asserts that the aging population can actually be able to maintain economically productive levels. By not letting the baby boomer not to work the economies will be negatively affected. While there have been plan set to let this group of people to work on part time basis, the over emphasis on allowing them to work is not the key to supplementing the inadequate governments pension schemes. Critics of this theory argue that what modern economies need is a young and vibrant worker who van understand the dynamic needs of the modern day job. Furthermore, the number of unemployed people aged 55 and over is alarmingly high. Therefore increasing the retirement age simply has a negative impact on the economy. This is due to the fat that it raises the unemployment are as well as makes longer the year that this people spends looking for a job (Geewax pa ra 3-7). This in effect raises poverty levels especially in this group of citizen. Furthermore it increases the number of years that the spend without being able to access social welfare benefits for retirees. This has an effect on the poverty index too. The age at which people retire is a complicated matter. This is because it has a direct effect on the economic set up of that country. Governments need to reign in and control the raising pension bills, which are resulting to national budget deficits. Various ideas have been put forward to reign in on the increased level of national budget deficits. Rising the retirement age is one of them this view sees a job as more that just a means to earn a decent salary. For these brand of economists, having a job is necessary toward national and economic development. However as debate continue of the need to raise the age of retirement, government pensions schemes continue to feel the pinch of an increasingly aging population Works Cited Altm ann, R. â€Å"Scrapping the default retirement age will benefit the economy.† The Guardian. 2010. Web. Geewax, M. â€Å"Raising The Retirement Age: Can It Balance Budgets?† npr. 2011. Web. Mckinnon, J., Boles, C. And Martin V. â€Å"Deficit Panel’s Leaders Push Cuts.† Wall street journal. 2010. Web. Morgenstern, M. â€Å"A special report on pensions: A nudge and a wink†. The Economist. 2011. Web. Thomas D. â€Å"Pensions: 70 or bust!† The Economist. 2011. Web. Schulz, J. The Economics of Aging. West Port, CT: Auburn House. 2001. Print This essay on The economics of rising the retirement age was written and submitted by user Felix Ramos to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Lenticular Galaxies Are Quiet, Dusty Stellar Cities

Lenticular Galaxies Are Quiet, Dusty Stellar Cities There are many types of galaxies out there in the universe. Astronomers tend to classify them first by their shapes: spiral, elliptical, lenticular, and irregular.  We live in a spiral galaxy, and we can see others from our vantage point on Earth. A survey of galaxies in clusters such as the Virgo cluster shows an amazing array of different shapes of galaxies. The big questions that astronomers who study these objects ask is: how do they form and what is in their evolution that influences their shapes? A dusty spiral galaxy as seen by NASAs Hubble Space Telescope. NASA, ESA, and D. Maoz (Tel-Aviv University and Columbia University) Lenticular galaxies are rather poorly-understood members of the galaxy zoo. They are similar in some ways to both spiral galaxies and elliptical galaxies  but are really thought to be a sort of transitional galactic form.   For instance, lenticular galaxies appear to be like a  fading spiral galaxy. However, some of their other characteristics, like their composition, are more in line with elliptical galaxies. So, its very possible that they are their own, unique galaxy type.   Galaxy NGC 5010 is a lenticular galaxy which has features of both spirals and ellipticals. NASA/ESA/STScI Structure of Lenticular Galaxies Lenticular galaxies generally have flat, disk-like shapes. However, unlike spiral galaxies, they lack the distinctive arms that usually wrap themselves around the central bulge. (Though, like both spiral and elliptical galaxies, they can have a bar structure passing through their cores.) For this reason, lenticular galaxies can be difficult to tell apart from elliptical ones if they are viewed face-on. Its only when at least a small part of the edge is apparent can astronomers tell that a lenticular is distinguishable from other spirals. Even though a  lenticular does have a central bulge similar to that of spiral galaxies, it can be much larger. Judging by the  stars and gas content of a lenticular galaxy, it is far more similar to an elliptical galaxy. Thats because both types have  mostly old, red stars with very few hot blue stars. This is an indication that star formation has slowed significantly, or is non-existent in both lenticulars and ellipticals. Lenticulars usually have more dust content than ellipticals, however. Lenticular Galaxies and the Hubble Sequence In the  20th century,  astronomer  Edwin Hubble  set about trying to understand how galaxies form and evolve.  He created what is known as the Hubble Sequence - or graphically,  the Hubble Tuning For diagram, which placed galaxies on a sort of tuning-fork shape based on their shapes. He imagined that galaxies began as ellipticals, perfectly circular or nearly so. Then, over time, he thought their rotation would cause them to flatten out. Eventually, this would lead to the creation of spiral galaxies (one arm of the tuning fork) or barred Spiral galaxies (the other arm of the tuning fork). Lenticular galaxies are likely a transiition between elliptical and spiral on the standard Hubble tuning fork diagram that classifies galaxies by their shapes.   NASA At the transition, where the three arms of the tuning fork would meet, there were the lenticular galaxies; not quite ellipticals not quite spirals or barred Spirals. Officially, they are classified as S0 galaxies on the Hubble Sequence.  It turned out that Hubbles original sequence didnt quite match the data we have about galaxies today, but the diagram is still very useful in  classifying galaxies by their shapes. Formation of Lenticular Galaxies Hubbles groundbreaking work on galaxies may have influenced at least one of the formation theories of lenticulars.  Essentially, he proposed that lenticular galaxies evolved out of elliptical galaxies as a transition to a spiral (or barred spiral) galaxy, but one current theory suggests that it could be the other way around. Since lenticular galaxies have disk-like shapes with central bulges but have no distinctive arms, it is possible that they are simply old, faded spiral galaxies. The presence of a lot of dust, but not a lot of gas suggests that they are old, which would seem to confirm this suspicion. But there is one significant problem: lenticular galaxies are, on average, much brighter than spiral galaxies. If they were truly faded spiral galaxies, you would expect them to be dimmer, not brighter. So, as an alternative, some astronomers now suggest that lenticular galaxies are the result of mergers between two old, spiral galaxies. This would explain the disk structure and the lack of free gas. Also, with the combined mass of two galaxies, the higher surface brightness would be explained. This theory still needs some work to solve some issues. For example, computer simulations based on observations of galaxies throughout their lives suggest that the rotational motions of the galaxies would be similar to those of normal spiral galaxies. However, that is generally not what is observed in lenticular galaxies. So, astronomers are working to understand why there is a difference in rotational motions between types of galaxies. That finding actually lends support to the fading spiral theory. So, the current understanding of lenticulars is still a work in progress. As astronomers observe more of these galaxies, the additional data will help solve the questions about where they lie in the hierarchy of galaxy forms. Key Takeaways about Lenticulars Lenticular galaxies are a distinct shape that seems to be somewhere between spiral and elliptical.Most lenticulars have central bulges and seem to have differences in their rotational actions from other galaxies.Lenticulars could be forming when spiral galaxies merge. That action would form the disks seen in lenticulars and also the central bulges. Sources â€Å"How to Make Lenticular Galaxies.†Ã‚  Nature News, Nature Publishing Group, 27 Aug. 2017, www.nature.com/articles/d41586-017-02855-1.Informationeso.org. â€Å"The Hubble Tuning Fork - Classification of Galaxies.†Ã‚  Www.spacetelescope.org, www.spacetelescope.org/images/heic9902o/.Lenticular Galaxies and Their Environments. The Astrophysical Journal, 2009, Vol 702, No. 2, http://iopscience.iop.org/article/10.1088/0004-637X/702/2/1502/meta Edited by Carolyn Collins Petersen.

Change Model to Expand the Business Essay Example | Topics and Well Written Essays - 1500 words

Change Model to Expand the Business - Essay Example This paper illustrates that in business expansion, the change process plays an essential role to evaluate present performances and future possibilities. Apart from this, planning plays a very valuable role during the change process. An appropriate change model is required to be implemented with the intention of ensuring that the expansion process is conducted successfully. Subsequently, the success of the change model is dependent on various factors that include communication of the urgency of change, type of change needed and effective communication of change plan. In this context, planning and implementation process are required to be managed successfully in order to enhance probability margin of success. In the present scenario, globalization and advanced technology are the prime factors accountable for business expansion in different overseas market segments. The organization in order to enter the Chinese market segments and conduct business operations successfully is required to ensure that business operations are performed in accordance with the preferences as well as the behavior of customers. The market segments of China are developing rapidly with consumers mostly preferring for local branded products and/or services. In this context, the Chinese consumers are identified to have minimum needs or preferences for foreign products and/or services. Thus, it can be evidently asserted that in order to establish a business relation in a Chinese market, the organization is required to adopt effective change model to ensure that business operations are conducted on the basis of market demands.