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11.4.1 population growth and structure

Population and development

  1. Population change = natural change + net migration.
  2. Natural change = birth rate − death rate.
  3. The size and structure of the population affect output per head and living standards.
Key Idea
  • Birth rate, death rate, infant mortality and net migration together drive population change.
  • The optimum population maximises output per head, and urbanisation shifts people from rural to urban areas.

Measuring population change

Definition

Birth rate: the number of live births per thousand of the population each year.

Death rate: the number of deaths per thousand of the population each year.

Infant mortality rate: deaths of children under one per thousand live births.

Net migration: immigration − emigration over a period.

  1. The birth rate falls with higher incomes, more female education and employment, and better access to contraception, as families choose fewer children.
  2. The death rate falls with better healthcare, nutrition and sanitation, though an ageing population can later push it back up.
  3. Infant mortality falls with better maternal healthcare, immunisation, clean water and nutrition, making it a sensitive marker of development.
  4. Net migration responds to wage differences, job opportunities, conflict and immigration policy, changing both the size and the skill mix of the workforce.
Example
  • Suppose a country of 20 million has a birth rate of 30 per 1,000, a death rate of 10 per 1,000 and net migration of +50,000 in a year.
  • Work through it step by step.
Population change=birth rate−death rate1,000×population+net migration \text{Population change} = \dfrac{\text{birth rate} - \text{death rate}}{1{,}000} \times \text{population} + \text{net migration} Population change=1,000birth rate−death rate​×population+net migration =30−101,000×20,000,000+50,000 = \dfrac{30 - 10}{1{,}000} \times 20{,}000{,}000 + 50{,}000 =1,00030−10​×20,000,000+50,000 =201,000×20,000,000+50,000 = \dfrac{20}{1{,}000} \times 20{,}000{,}000 + 50{,}000 =1,00020​×20,000,000+50,000 =400,000+50,000 = 400{,}000 + 50{,}000 =400,000+50,000 =450,000 = 450{,}000 =450,000
  • The population rises by 450,000 (about 2.25%), with the natural increase of 400,000 dwarfing net migration of 50,000.
Note
  • In many developing economies the death rate falls before the birth rate, so the population grows rapidly for a period.
  • Migration also reshapes the age and skill structure, not just the total.

Optimum population

Definition

Optimum population: the population size that maximises real output per head, given the country's resources, capital and technology.

  1. Below the optimum a country is underpopulated, so land and capital are not fully used and output per head is below its potential.
  2. Above the optimum a country is overpopulated, so resources are stretched and output per head falls.
  3. The optimum is not fixed: new technology or resource discoveries raise the population a country can productively support.
Example
  • A resource-rich, sparsely populated economy may be underpopulated, while a crowded low-income one is overpopulated.
  • The same population could be optimal for one country and excessive for another, so it depends on resources and technology.

Level of urbanisation

Definition

Level of urbanisation: the share of the population living in towns and cities.

  1. Urbanisation rises with development as workers move from low-productivity farming to higher-productivity industry and services.
  2. This shift can raise output per head and widen access to education and healthcare.
  3. But rapid rural-urban migration may bring congestion, informal settlements and strained public services, offsetting some of the gains.
Exam technique
  • Define each rate precisely, including its per-thousand basis.
  • Link a cause of population change to its effect on output per head.
  • Judge whether a country is under, over or optimally populated using its resources and technology.
Common Mistake
  • Do not treat a larger population as automatically good or bad, since it depends on the optimum.
  • Do not confuse the birth rate with the fertility rate, or the death rate with infant mortality.
Self review
  • How is natural population change calculated?
  • Give one cause each of a falling birth rate and a falling death rate.
  • Define the optimum population.
  • What is meant by the level of urbanisation?
  • Distinguish overpopulation from underpopulation.
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A country's population changes through natural change and net migration. Natural change is the difference between births and deaths, while net migration is immigration minus emigration.

When birth and death rates are measured per 1,0001{,}0001,000 people, annual population change is calculated using the following equation:

Population change=birth rate−death rate1,000×population+net migration \text{Population change} = \frac{\text{birth rate} - \text{death rate}}{1{,}000} \times \text{population} + \text{net migration} Population change=1,000birth rate−death rate​×population+net migration

A positive result means that the population grows, while a negative result means that it shrinks. Population size and structure can affect the labour force, total output, output per head and living standards.

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How is total population change calculated?

11.4.1 population growth and structure Revision Guide

  1. Intl A Level
  2. /Economics
  3. /11.4.1 population growth and structure

Revision notes for CIE Intl A Level Economics 11.4.1 population growth and structure: explanations and worked examples.

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