If demographics is destiny, then Harry Dent Jr. thinks we're in trouble.
Too many old people who won't be spending isn't helpful for the economy. Just ask the Japanese.
As the Japanese have hit their 60s and 70s, they became stingier. Artificial, forced spending like government stimulus is not going to spark real voluntary spending because that isn’t what old people do. They’ve already paid for their houses, cars and their children’s schooling. Merchants try to goose lackluster sales by cutting prices, which increases the incentive for people to save their money, expecting things will be cheaper in the future than they are today.
That’s a deflationary spiral, and Dent sees it coming here next, and soon.
If he's right, the next few years will be rough.