In the first two decades of this century, life expectancy has significantly increased, according to data from the World Health Organization (WHO). However, this rise in life expectancy has brought about challenges for some affluent nations. A recent report by the Institute for Fiscal Studies reveals that people tend to underestimate their chances of living to 75, leading to inadequate retirement savings. This strain on pension systems is causing labor market shortages and is forcing healthcare workers and scientists to grapple with a surge in age-related diseases such as Alzheimer's and dementia.

Andrew J. Scott, a renowned economics professor at the London Business School, believes that addressing an aging population will be one of the defining issues of the 21st century. In an interview with Business Insider, Scott emphasizes that governments, companies, and individuals must take action to adapt to this demographic change. In his newly released book titled "The Longevity Imperative," Scott proposes transitioning to an "evergreen economy" that harnesses the potential of the aging population to address inequality and stimulate growth.

Governments can contribute by investing in preventive health initiatives, such as anti-dementia drug trials, while companies can help by offering flexible working patterns and combating ageism to keep older individuals employed and productive. Scott also highlights the responsibility of individuals in taking care of their health and finances, citing the growing popularity of weight-loss drugs, healthier habits among Gen Z, and the retire wealthy movement as signs of increased awareness about the need for long-term planning.

Scott emphasizes that waiting until old age to make changes is insufficient for aging better. He encourages individuals to consider their health, finances, skills, and relationships at earlier stages of life. "This is about not underestimating the capacity of our later years or older people to make sure we stay evergreen," he stresses.

The issue of an aging population is already beginning to impact some of the world's largest economies. Italy, for example, is experiencing a rapid increase in its elderly population, with over-65s already comprising 37% of the workforce, as reported by the Institute for International Political Studies. This figure is projected to rise to a staggering 65% by 2050. Japan currently has the world's oldest population, with nearly 30% of people being over 65, leading to concerns about future labor shortages.

The United States, on the other hand, has a growing and relatively young population due to high levels of immigration. However, the Census Bureau's population survey reveals that about half of Americans over 65 earn less than $30,000 annually, highlighting the grim financial circumstances faced by many older individuals.

Scott argues that policies like raising the Social Security age miss the point since people often retire not because they have enough money but due to health issues, caregiving responsibilities, or job loss caused by outdated skills. He emphasizes the importance of sustainable health as individuals age, the maintenance of skills, and the promotion of age-friendly jobs within companies.

While some may view the concept of an "evergreen economy" as unrealistic or even dystopian, Scott's optimism shines through. He draws inspiration from David Bowie's words, highlighting how aging is a transformative process. Moreover, his personal experiences, including the loss of his parents, have fueled his passion for exploring longevity and its implications.

Scott clarifies that embracing longevity does not require extreme measures like strict diets or excessive pill-popping. He emphasizes the importance of exercise, improved financial planning, and better sleep habits. Above all, he stresses the significance of maintaining connections with friends and family.

As increased life expectancy begins to affect economies worldwide, Scott urges a reevaluation of aging. While concerns about inequality and potential ethical challenges arise, his idealistic approach and enthusiasm for tackling these issues are difficult to dismiss. The thinking around longevity requires a paradigm shift that encompasses not only GDP but also personal well-being and lifestyle choices.