• Vienna Institute of Demography (Ed.) - Miguel Sánchez-Romero - Michaela Kreyenfeld - Iñaki Permanyer - Michaela Potančoková - Vanessa di Lego (Guest Eds.)

Vienna Yearbook of Population Research 2025

Population inequality matters

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The Vienna Yearbook of Population Research is an open access journal that features contributions addressing population trends as well as a broad range of theoretical and methodological issues in population research. Besides Research articles and Review articles, the journal includes Data and Trends contributions, which analyse changes in population dynamics or present databases and data infrastructure. It also features Perspectives articles, which focus on ideas, concepts or theories, as well as invited Debates reflecting on selected questions and issues. Since 2008, the volumes have been devoted to selected themes following special calls for thematic issues.

The 2025 volume of the Vienna Yearbook of Population Research focuses on the role of population inequality in demographic research, particularly, on the interplay between population diversity and social inequality. Besides classical markers of heterogeneity in individual behavior, such as gender, age, education, family status, migration background, urban-rural residence and socio-economic status, other sources of inequality are covered in the volume. They include marginalized populations, such as homeless people, generational and spatial factors as well as emerging trends, such as digitalization. Understanding population inequality is key for modeling population developments and projecting them into the future. Equally important is to understand how and why different types of inequality arise and evolve, and what policy challenges they impose for socio-economic development, welfare systems and social cohesion.

Verlag der Österreichischen Akademie der Wissenschaften
Austrian Academy of Sciences Press
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Vienna Yearbook of Population Research 2025
ISSN 1728-4414
Print Edition
ISSN 1728-5305
Online Edition
ISBN 978-3-7001-9681-5
Print Edition
ISBN 978-3-7001-9682-2
Online Edition



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Verlag der Österreichischen Akademie der Wissenschaften
Austrian Academy of Sciences Press
A-1011 Wien, Dr. Ignaz Seipel-Platz 2,
Tel. +43-1-515 81/DW 3420, Fax +43-1-515 81/DW 3400
https://verlag.oeaw.ac.at, e-mail: bestellung.verlag@oeaw.ac.at
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Life course heterogeneity and the future labour force – A dynamic microsimulation analysis for Austria

    Thomas Horvath, Martin Spielauer, Philipp Warum

Vienna Yearbook of Population Research 2025, pp. 207-230, 2025/12/17

Population inequality matters

doi: 10.1553/p-35zm-55f2


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doi:10.1553/p-35zm-55f2

Abstract

Using Austria as a case study, this paper demonstrates how capturing life course heterogeneity improves the accuracy and policy relevance of socio-demographic projections, and how considering this population heterogeneity impacts labour force dynamics and economic dependency ratios. We introduce and apply the microsimulation model microDEMS, focusing on education, migration background, health and labour market participation. Using administrative data, the model ensures longitudinal consistency of labour market careers, including insurance periods, and considers pension rules and reforms. Despite its level of detail, microDEMS is consistent with official demographic projections. To assess sensitivity, we create alternative scenarios that illustrate how different factors affect future labour force dynamics. The main result of our simulation analysis is the quantification of substantial mitigating effects of improvements in education and already adopted changes in pension legislation, which together reduce the impact of ageing on the economic dependency ratio by 55%.

Keywords: Population heterogeneity; Dynamic microsimulation; Labour force participation; Pension reform