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How can the government make sure that people save enough money to live on when they are old?

#government #people #money
In recent years, most countries have faced an ageing population and there is a need to resolve the problems attached. Amongst the most emergent issues is the livelihood of the elderly. Due to the fact that
this
 group of
people
 do not earn a stable amount of income, they have to rely predominately on pension or insurance to cover their expenses. It is logical to suggest that
people
 should save up in their early lives so that they can be more proactive in their later years. The most important idea is to educate
people
 in order that
people
 understand how to manage money.
This
 would allow
people
 to manage their finances better at an early age. For
this
 reason, the government should provide lessons in schools to help teach
people
 so they can do
this
. One benefit of
this
 is that conversations around the subject will be triggered more popularly leading to more actions in saving and enhanced financial intelligence. A drawback to
this
 is that it would obviously take up so much time that some would object to the idea of maintaining that school times should be better allocated to more general knowledge like maths and history. Another suggested measure is that the government can run savings schemes that encourage
people
 to save money. These can involve increasing saving interests or engrossing retirement packages so that young
people
 are motivated to set aside a set amount of their income for bigger returns later on. Though
this
 might be sound the disadvantage of it is
also
 significant due to the fact that businesses will find it hard to apply for a loan since the overall interest rates would have risen
accordingly
.
This
 means the cash flow in the economy will be stuck and slow down economic growth causing the government to struggle to pay back pensions when its dues. In conclusion, all solutions help to some extent but I would argue that education plays a crucial role in making a difference in changing
people
 towards saving up for rainy days.
Submitted by siphu2021 on

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