Research on the Impact of Issuing Central Bank Digital Account on Improving Domestic Demand Under the Background of Population Aging

By establishing an Over Lapping Generation model (OLG model) and introducing Central Bank Digital Account (CBDA), this paper discusses the impact of population aging and CBDA on economic growth. The study found that after the introduction of CBDA, population aging can promote the accumulation of human capital, but hinder the accumulation of physical capital at the same time. When the increasing effect of population aging on the accumulation of human capital is greater than its inhibiting effect on the accumulation of physical capital, the government should reduce the tax rate and increase the proportion of public education expenditure. When the effect of ageing on human capital accumulation is not sufficient to offset the effect of ageing on physical capital accumulation, the government should raise taxes and spend less on public education and more on health care