When the first baby boomers reach retirement age in 2008, there will be about five working-age people for each person 65 and older. By the time the last of the baby boomers retire in 2030, the number drops to about 3 working-age people per retiree.

Ben Bernanke, Chairman of the Federal Reserve Board made these remarks in a speech before The Washington Economic Club, on October 4:

Over the next few decades, the U.S. population will grow significantly older, a development that will affect our society and our economy in many ways. In particular, the coming demographic transition will create severe fiscal challenges, as the cost of entitlement programs rises sharply.

In his speech, Bernanke outlined possible responses to the fiscal challenges of our aging population, including encouraging older workers to remain in the workforce longer. He added that a slower growth in the labor force will motivate employers to attract and retain older workers.

Read the full speech here.