Has South Korea Squandered Its Demographic Dividend?

Elizabeth H. Stephen, Georgetown University

South Korea is one of the Asian Tigers that capitalized on the demographic dividend; but what follows that dividend? This paper proposes that although children and families have suffered some negative consequences from the hyper-competitive educational system and gendered workforce, it is the current elderly who have benefited the least from the demographic dividend. Evidence for this can be seen in high rates of poverty (nearly half of persons aged 66-75) and suicide (160 per 100,000 persons aged 75 and over), which are the highest rates in the OECD area. Suicide rates are highest in the provinces, with the highest level in Gwangwon-do, which also has the lowest density of any province. To alleviate some of the pressures on a country with continued low fertility and an increasing number of elderly, the government must strengthen the national pension system and address inequities in the educational system and workforce.