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Population Growth & Economic Development

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Population growth has its own effects on economic growth of a country which can be negative or positive first we will look in to the negatively effecting factors of population growth:

1) Due to increase in Population Consumption Increases which will decrease GNP/GDP and Imports will increase and Exports Fall down Budget Defect is the result and the prices mount high.

2) Miss Use OR Over use of Natural Resources. Due to increase in population Man to Land Ratio decreases. As land is inelastic, one can’t increase the amount or supply of land.

3) Raw-Material or Primary Goods are used or processed either directly or indirectly which produce finished goods and also yield residues some of it is recycled and some is disposed to nature which effects it negatively. So when more and more people depend on land there are more chances of the damage accruing to ecosystem.

4) Effect on PCI, if the population growth dose not matches the labour force there is a negative effect on PCI.

5) Population Growth and Standard of Living, as increase in population leads to more consumption. OR there are more mouths to feed which effects the standard of living.

6) Population and Agriculture, the pressure on land increases and also increase disguised unemployment.

7) Population and employment, unemployment increases due to increase in population.

8) Population and Social infrastructure, pressure increases as one Doctor has to attend more and more patents similarly in other fields also.

9) Population Increase decreases Capital Formation.

10) Population Increase results in Brain Drain.

11) Population Increase negatively effects Environment as urban slumbs increase.

Similarly there are some positives of population growth which can be achieved through proper planning and management.


The theory of Demographic Transition was developed by C P B Lacker. And it is based on the actual cycle OR actual population trends. According to The theory of Demographic Transition every country passes through five stages, which are:

I High Stationary Phase.

II Early Expanding Phase.

III Late Expanding Phase.

IV Low Stationary Phase.

V Declining Phase.


1. In High Stationary Phase both death rates and birth rates are high.

2. Due to which growth rate is slow.

3. Traditional Society

4. People live in rural areas, unhealthy environment Agriculture is the only occupation.

5. Simple light consumer industry exists.

6. Infrastructure is not developed.

7. Lack of social and economic overheads.

8. Income is low and mass poverty prevails.

9. People are illiterate, ignorant, superstitious and fatalists.

10. Large family to augment low family income.

11. Non-nutritional food & low calories intake.

12. Lack sense of cleanliness and unhealthy surroundings.

13. Il-ventilated houses.

14. Absence of proper medical care.

15. High maternal & infant mortality.

16. Strong customs and negative attitudes prevail.

17. Lack of transportation facilities.

18. Country is backward.

19. Rural areas are densely populated.

20. Tertiary sector is under developed.

21. Joint family systems.


a) Economic

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