A billion shades of grey

The article “A billion shades of grey” at “The Economist” deals with a demographic problem concerned in the whole world: high qualified personnel continues to work instead to go in retirement. Furthermore, well-educated staff increasingly works longer than the less-skilled worldwide.

This fact also influences on the income of the personnel. The top-level personnel is working longer and receiving greater than the bottom-level personnel. The consequences also reflect on the society and individuals.

The amount of the old people is staggering increased and they will live longer than before. The experience of the last century showed that people were spending more time in retirement than at work, what steers to “secular stagnation”.

The situation in America is different: young low-qualified people throw up their jobs, whereas well-educated “baby-boomers” continue to work.

Many European policies support the early retirement, but to obtain a sufficient retirement means to work longer. The technological progress also plays a big role, but some skills do not disappear with age and they are not necessary. In one’s part manual work becomes more difficult for older people and public pensions attract more than low wages.

However, not every economical effect is profound. To avoid the disparity, governments should impose higher inheritance taxes for those old people, who accumulates wealth for their legatees. Furthermore, governments should reform the retirement and the education systems, but not the income.

The importance of public investments in education is obvious. It would help people to acquire some skills, which could influence their career and their life. For this reason governments should weaken the retirement policy that discourage people from working longer should go.

The best way to change the retirement policy is