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Demographic divident Demographic dividend refers to the growth in an economy that is the result of a change in the age structure of a country’s population. The change in age structure is typically brought on by a decline in fertility and mortality rates. While most countries have seen an improvement in child survival rates, birth rates remain high in many of them, particularly in lesser developed countries.
These countries, therefore, rarely enjoy an economic benefit known as the demographic dividend. Demographic dividends are occurrences in a country that enjoys accelerated economic growth that stems from the decline in fertility and mortality rates. A country that experiences low birth rates in conjunction with low death rates receives an economic dividend or benefit from the increase in productivity of the working population that ensues. As fewer births are registered, the number of young dependents grows smaller relative to the working population.
আরো ও সাজেশন:-
With fewer people to support and more people in the labor force, an economy’s resources are freed up and invested in other areas to accelerate a country’s economic development and the future prosperity of its populace.
To receive a demographic dividend, a country must go through a demographic transition where it switches from a largely rural agrarian economy with high fertility and mortality rates to an urban industrial society characterized by low fertility and mortality rates. In the initial stages of this transition, fertility rates fall, leading to a labor force that is temporarily growing faster than the population dependent on it.
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All else being equal, per capita income grows more rapidly during this time too. This economic benefit is the first dividend received by a country that has gone through the demographic transition. he benefits gotten from a demographic transition is neither automatic nor guaranteed. Any demographic dividend depends on whether the government implements the right policies in areas such as education,
health, governance, and the economy. In addition, the amount of demographic dividend that a country receives depends on the level of productivity of young adults which, in turn, depends on the level of schooling, employment practices in a country, timing, and frequency of childbearing, as well as economic policies that make it easier for young parents to work. The dividend amount is also tied to the productivity
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