CHAPTER 5
ECONOMIC DEVELOPMENT
Part 3
Population
 describe the factors that affect population growth
 explain reasons for the different rates of population growth
in different countries
 describe the effects of changes in the size and structure of
population on different countries.
DEFINITION
 population = the total number of inhabitants of a particular
country.
 population growth = the rate of change in the size of a
country’s population.
FACTORS THAT AFFECT POPULATION
GROWTH
Birth rate
= the number of live births per thousand of population
in a year
= total number of births in a country/ population size
- the higher a country’s birth rate, the greater its
population growth
fertility
rate
= the average number of children born per woman
FACTORS THAT AFFECT POPULATION
GROWTH
Death
rate
= the number of deaths per thousand of population in
a year
= total number of deaths in a country/ population
size
- the lower a country’s death rate, the greater its
population growth
CLASSIFICATION BY POPULATION GROWTH
& POPULATION STRUCTURE
Developing
economies
Developed
economies
High rates of
population
growth
> Ageing
population
Birth rate > death
rate
High dependency
ratio
Increases the
retirement age
FACTORS THAT AFFECT POPULATION
GROWTH
Net
migration
rate
= physical movement of people in & out of a country in
a year
= people enter a country to live and
immigration
work
emigration
= people leave a country to live and
work
= more people enter
= immigration – emigration (per year) a country to live and
= more people leave
work
Net
Net
a country to live and
immigration
emigration
work
REASONS FOR DIFFERENT RATES OF
POPULATION GROWTH IN DIFFERENT
COUNTRIES
MEDC
Birth
Death rate
Net migration
rate
Demographics
lower
lower
higher
More
Female &
male in LF
More
elderly
people
Higher
education
& medical
care
services
Better job
opportunities
& salary
High
dependency
ratio
REASONS FOR DIFFERENT RATES OF
POPULATION GROWTH IN DIFFERENT
Able to share the
COUNTRIES
LEDC
Birth
Death rate
Net migration
rate
Demographics
higher
higher
lower
less
Female in
LF
More
children
population
family burden
Lower
education
& medical
care
services
Lack of job
opportunities &
lower salary
dependency
ratio – depends
to government
policies
EFFECTS OF CHANGES IN THE SIZE AND
STRUCTURE OF POPULATION ON DIFFERENT
COUNTRIES
The
optimum
population
GDP per
head
Under-
Overpopulation
= when the output of G&S per capita of the
population is maximised Does not have
Under-populated sufficient labour
Government
over-populated
encouraging
immigration
Insufficient
Population
Size
resources to
sustain the
population
Government
encouraging
emigration or
boost Investmen
EFFECTS OF CHANGES IN THE SIZE AND
STRUCTURE OF POPULATION ON
DIFFERENT COUNTRIES
= composition & structure of a country’s population/
Population
demographics
Distribution
Age
Dependency
Distribution
ratio
Gender
Distribution
Comparison
The
between
The number
proportion of
labour force
of males
young people
with not in LF.
compared to
and old
the number
people
of females
EFFECTS OF POPULATION CHANGES
Slower
population
growth
MEDC
Consumers
Firms
Government
Public services,
welfare benefits
& state pensions
Innovations &
capital goods
Higher opportunity
costs of raising
children
Elderlyhealthcare
Children- healthcare
& education, family
vacations & housing
Rises the retirement
age & pension
savings schemes
EFFECTS OF POPULATION CHANGES
The
economy
The natural
environment
Larger
population
Pollution,
traffic
congestion
Scarce
resources
Inflation