IMF: Global economy 'in danger zone' over euro crisis

[muriel_volestrangler]

5. As caseymoz says, population changes

As well as a growing population, an ageing one, with more time spent in retirement (but maybe needing more spent on healthcare) will need a larger economy to support everyone at the level they're at now. Modern economies have evolved to expect, and depend on, growth to fulfill past promises and loans. It'd be possible to redirect a nation, or the world, to zero growth or maybe even contraction over a long period (contraction of physical resources used would be a good thing, for instance), if there was the political will and control, but the present system (interest-bearing loans and so on) is built on the expectation of growth.

You'd expect some economic growth through innovation, as well; zero growth would indicate no ability to improve on old methods or designs, which would indicate a society vulnerable to unforeseen changes.