Good insights; thank you. I’ve seen Japan’s economic recent economic dilemma referred to as “the Lost Decade.” I suspect the economic trends you referred to are a primary cause.
I’ve often wondered if China were likely to experience the same issues if their populace ever put themselves in a position to demand less pollution and higher wages.
They're doing it now, and you're beginning to see the effects. Xi thinks he can control it, but 3000 years of Chinese history says otherwise.
As for pollution, there are now routinely large demonstrations in protest against planned factories that threaten environmental damage, and a number of public campaigns and campaigners against environmental damage. The authorities try to suppress it, but not terribly effectively.