Study On The Impact Of Population Aging On The Inflation

Inflation is a major macroeconomic problem.At present,at home and abroad,researchers study the interfering factors of inflation basically from the short and interim factors include that the industrial structure,supply and demand,supply of money and the social expectations,however,the long lasting interfering factors of population aging are comparatively few.Theoretically,the population age structure will have a long-term impact on inflation.Specifically,the population aging can act on inflation through a variety of channels,including demand effect,supply effect,industrial structure effect,financial effect and money supply volume.At present,the trend of population aging in China is becoming more and more serious,so it is necessary to study how population aging affects inflation.This paper uses the panel data from 31 provinces and municipalities from 2004 to 2019,combining theoretical analysis and multiple regression analysis as its research method,using static panel model and dynamic panel model for empirical analysis.The article draws the following conclusions through the research:in the first place,whether children dependency ratio or elderly dependency ratio,the two variables will have significant inhibitory effect on inflation,secondly,different region will lead to the relationship between population age structure and inflation difference,eastern China Midwest children dependency ratio of inflation are significant negative correlation.Among them,the child dependency ratio has the biggest inhibitory impact on inflation if it is in the central region,followed by the eastern and western regions.The regression coefficient of the elderly dependence ratio in eastern,central and western China is minus,which the old age dependency ratio inhibits inflation,and the eastern region is stronger than the central region,and the connection between older age dependence and inflation where in the western region is not obvious.Thirdly,the impact of population aging at different rates on inflation varies.Among them,only slow aging had a significant inhibitory effect on inflation,and the other two groups of moderate-rapid aging and rapid aging had no significant effect on inflation.In orther to introduce the innovation point lie in the paper,first of all,the paper use the provincial panel data which start from 2004 to 2019,then an empirical study was performed,which can reflect the latest changes of variables such as inflation rate,and can get the latest research results on the impact of population aging on inflation.Second,This paper aims to analyze whether there are distrinct differences in the effects of population aging on inflation at different rates.Thirdly,this paper analyzes the influencing factors of inflation from the perspective of population age structure,and beneficial complements the literature examining the influencing factors of inflation.