We investigate the impact of the current serious population decline on the Japanese economy. Since population decline is accompanied with aging, the effects on economic growth and economic fluctuations will be complicated. Our analysis includes both theoretical and empirical aspects, and also both from macro and micro perspectives. The theoretical framework is based on the literature of economic growth theory, network theory and microeconomics of household and firm behavior, which we employ as background for our focus on supply and demand in the labor market, dynamics of asset prices in the financial markets, changes in the housing market and household consumption behavior, etc. Through such multifaceted analysis, we will evaluate the impacts of the current population decline comprehensively.
August 5, 2019 - July 31, 2021