UNIT 7:Developed and developing economies: trends in - Man power (skilled labours)

- Investment in capital and investment

production, population and living standards - Economic and political stability
 describe why some countries are classified as developed and others are not
 describe the difference between absolute and relative poverty - Man-made and natural calamities.
 recognise poverty MEASURES OF DEVELOPMENT
 Recognise poverty
 Development can be measured in terms of real GDP per head although Human
 Describe the difference between absolute and relative poverty
 discuss policies to alleviate poverty Development Index (HDI) gives a wider measure of the development. HDI
 describe the factors that affect population growth (birth rate, death rate, fertility rate, net includes life expectancy, educational attainment and real GDP per head.
migration)
DEVELOPED AND DEVELOPING COUNTRIES
 discuss reasons for the different rates of growth in different countries
 analyse the problems of these population changes for countries at different stages of
DEVELOPING DEVELOPED
development High birth rate and high death rate Low birth rate and low death rate
 analyse the consequences of these population changes for countries at different stages of Low life expectancy and high infant High life expectancy and low infant
development mortality rate mortality rate
 describe the effects of changing size of population on an economy High illiteracy rate, poor education and High literacy rate, better education and
 describe the effects of changing structure of population on an economy health and low productivity good health care facilities, and high level
 discuss differences in standards of living within countries, both developed and developing of productivity
 discuss differences in standards of living between countries, both developed and developing
High unemployment, and low income Lower unemployment, and high income
DEVELOPMENT per head, hence low living standards per head. Hence, high living standards
An economy is considered as developed when the economy is improving in living and low levels of saving and higher level of saving
standards, reducing poverty, expanding the range of economic and social choices ad High maternal mortality rate Low maternal mortality rate
Lack of nutritious foods Have access to nutritious foods
increasing freedom and self-esteem. As economy develops, the economic welfare of its
High rates of population growth, and Lower rates of population growth, and
population increases. The availability of basic needs increases together with the
high dependency ratio since birth rate is higher dependency ratio and they have
increase in their consumption.
higher than death rate high ageing population due to better
Different Stages of development health care and nutritious foods
1) Less developed countries More concentration of primary sector, More concentration of tertiary sector,
hence high proportion of labour force hence high proportion of labour force
2) Developing countries (lower incomes, lower living standards, high proportion of
employed in primary sector employed in tertiary sector
worker employed in primary sector, lower levels of productivity, and less
Low levels of capital goods and poor High levels of capital goods and better
investments)
infrastructure (‫ީޤ‬ ‫ްއ‬ ‫ަރ‬ ‫ަތ‬ ‫ީނ‬ ‫ާރ‬ ‫ްމ‬ ‫ުއ‬), and infrastructure, which increases
3) Developed countries ) productivity
reduce productivity
Reasons for the different stage: Poor housing and sanitation, so less Better housing and sanitation
- Availability and discovery of natural resources access to clean water
- Climate condition Concentration of narrow range of Concentration of wider range of exports,
- Technological development exports , most of the exports are mostly services
primary products
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 Poorly educated and largely untrained Highly educated and largely trained taxes - It has fear of technological
labour force resulting in low output and labour force resulting in high output and -It increases provision of public and merit unemployment
income and low economic growth income, high economic growth goods
Meaning of literacy rate: the percentage of people in the country who can read and -It improves standard of living of people
write in a particular year

Standard of living: it refers to the quantity of goods and services consumed by

households during a given period of time. POLICIES THAT CAN BE USED BY DEVELOPING COUNTRIES TO GROW
- Import substitution
REASONS FOR ECONOMIC DEVELOPMENT
 To increase real GDP per head and achieve higher standard of living for the
- Export promotion
country’s population, both now and in the future. - Increasing primary production
 In order to ensure all people have access to at least basic necessities and higher - Trade diversification
living standards and reduce poverty. This can happen when the distribution of - Concentration on tourism
income is even. - Encouraging foreign direct investment
 A reduction in poverty brings improvement in mental and physical health, enjoying - Borrowing from abroad
better living standards, the country would become more productive and reduce - Improving quality of available resources
country’s average cost. This can make the country internationally competitive. - Improving technology
 A reduction in poverty can reduce pollution level, having more access to better - Promoting invention and innovation
sanitation and environmentally friendly forms of heating.
 Development can expand the range of economic and social choices, increasing Reasons why developing economies concern about population growth
freedom and self-esteem can increase access to better education, health care and - Higher population reduces per capita income as income has to be spread among
participation in the political process. This can improve quality of lives and future number of heads.
economic performance. - It can increase the unemployment rate
 Development can increase income, education and health leading to higher savings - It increases the government expenditure on public and merit goods
and investment. So the workers become more productive raising the international - It increases social cost like congestion and pollution
competitiveness, which can again increase incomes.
INCOME AND WEALTH INEQUALITY
BENEFITS and DEMERITS OF ECONOMIC DEVELOPMENT / ECONOMIC GROWTH
 Income may be unevenly distributed between households due to :
Benefits Demerits - Uneven holdings of wealth
-Increases consumer income can increase - It increases social and environmental
aggregate demand as there is cost like pollution and congestion - Differences in the composition of the households
unemployment - It leads to exhaustion of non- - Differences in the ability to earn
-It increases variety of consumer goods renewable resources - Households with a number of workers are likely to earn more income than
and services - Investment in capital goods reduces those with no or less workers and more dependents.
-It increases leisure the investment in consumer goods
-It increases government revenue from (opp. Cost)
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 The wages received by workers can differ depending on their skills, qualifications,
and the number of hours of work.
- High skilled workers with better qualification can earn more than part time
workers.
- Some people depend on state benefits or help from relatives, their income is
likely to be low
 Wealth is stock of assets that have a money value. Some have considerable amount
of wealth while others don’t. some the assets like shares and government bonds can
increase the income
 Wealth is unevenly distributed because there are difference in the assets
inheritance, their savings and entrepreneurial skills.
- Inheritance is the major reason for being wealthy
- High saving can make the people more wealthier
- Wealth creates wealth, wealthy people can afford to save more and become
more wealthier
- People with good entrepreneurial skills would be able to build businesses and
become wealthy.
POLICIES TO REDUCE INCOME AND WEALTH INEQUALITY
1. Taxation
- Progressive tax (high % tax on high incomes, and lower % tax on lower incomes)
can help to reduce the inequality gap
- Regressive tax such as sales tax or GST can increase the inequality gap (high %
paid as tax by lower incomes, and lower % paid as tax by higher incomes)
2. The provision of cash benefits
- The provision of unemployment benefits and other cash benefits can help to
maintain a reasonable standard of living of the poor
3. The provision of free state education and health care
- Free State education and health can ensure everyone has access to basic
essential services and can improve their standard of living.
4. Using labour and macro-economic policies
- Using labour intensive methods in production can allow them to earn more
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- Fiscal and monetary policies to reduce the gap of inequality
Fiscal policy (increase direct tax and increase government spending on poor)
Monetary policy (reduce interest rates, especially for the poor and increase
money supply)
Other measures to reduce inequality gap include:
 legislation of minimum wage to ensure people can earn certain minimum
income
 regional policy to ensure that different regions can have the access to earn
income and high standard of living
 policies to reduce unemployment can reduce inequality gap and increase
standard of living
POVERTY
Absolute poverty occurs when people do not have access to basic food, clothing and
shelter.
Relative poverty occurs when they are poor relative to (compared with) other people
in the country.
People who are relatively poor are unable to participate fully in the normal activities of
their society.
People who are poor are likely to have worse than average education and health care.
This will reduce their productivity, employment opportunities and income and will also
affect the prospectus of their children.
REASONS FOR POVERTY
 being unemployed (this can reduce the standard of living of others due reduction
in potential output)
 being in low paid work (primary sector mostly)
 depending on primary activities such as farming, where the return is very low
 lack of secondary and tertiary activities which requires more employment
 unequal distribution of income
 existence of unused resources due to lack of resources
 over population
  falling ill
 growing old
POLICIES TO REDUCE POVERTY
 Improving the quantity and quality of education can increase the job prospects and
earning potential of the poor and their children in the long term.
 Increasing aggregate demand can increase employment (from government
expenditures and through reduced interest rates).
 Introducing or raising national minimum wage can solve the problem of lower
standard of living due to low wage
 Encouraging more MNCs (multinational companies) to set up in the country can
increase job opportunities
 Improvement in infrastructure ((‫ުއ ްމ ާރ ީނ ަތ ަރ ްއ ީޤ‬:
Government need to spend on building the roads, lights to improve the
infrastructure which will find easy for the transportation, people and trade.
 Improvement in Health care:
 One of the most important factors for not being poor is improving health. Improving
health guarantees healthier workforce which results a high productivity and more
output
 Improvement in the role of private sectors
 Government could use privatization so market forces will be able to allocate the
resources and determine the price which benefits the people.
 Government influence on private sector either by giving subsidies or tax incentives
could encourage them to produce more.
 Increased government spending is needed for economic growth and better living
standard
 Providing more generous State benefits:
- The elderly or sick or disabled people may not be able to work and may not have
any savings to support them. Giving them benefits, or raising the benefits they
receive may avoid the absolute poverty.
- Raising unemployment benefit to reduce poverty is a serious issue.
o If there is lack of jobs, it may help in the short run as it can raise their
standard of living, also more employments will be created by increasing
aggregate demand.
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o However, if jobs are available, and the unemployed are not filling them as
they receive a higher income on benefits, raising benefits will reduce the
incentive to work
 Land reform: many agricultural work are done on the land owned by a few rich
land owners. Those who rent or lease land may be reluctant to improve the fertility
of the land. In such situations, making ownership of land more equal may increase
the output and living standards
MEASURES TO INCREASE STANDARD OF LIVING
 Improving education and training can increase knowledge, and earning potential.
This can reduce unemployment and increase income, having access to varieties of
goods and services.
 Improving health care can increase productivity, and earning potential and hence
income and output of the country.
 Improving housing stock with fair prices can enhance access to better housing and
quality life style.
 Improving working conditions can increase worker productivity and increase
production. This can increase GDP per head.
 Measures to reduce pollution and external cost can improve the quality of the
society.
FACTORS AFFECTING (CAUSES) POPULATION GROWTH
Population means the total number of people living in a country in a particular area
over a given period of time.
1. Birth rate
 The number of live births in a year per 1000 of the population
FACTORS AFFECTING BIRTH RATE.
Main factors are average age of the population, number of women in the
population, and womens fertility rate
 If women’s fertility rate is high, it can increase birth rate.
(FERTILITY RATE ‫ ަދ ިރ ަމ ިއ ުވުމ ެގ ިނ ްސ ަބ ްތ‬ the average number of children per
woman)
  The age at which women marry: if the women marry at young age, birth rate
would be high.
 If the number of women pursuing higher education is high, it can decrease birth
rate because they would be more engaged in studies than in marriage and they
will be more aware of negative outcomes of large families.
 lack of basic facilities and nutritious foods (nutritious food, fresh air, clean
drinking water, sanitation) will reduce birth rate as babies die before birth
 Higher development of country can increase level of educated people and
will be aware of disadvantages of high population and be more aware of
family planning methods. This can reduce birth rate
 If women are given a high status and a high role in the economy and high
paid jobs are open to women, then birth rate will be low, as women will be
busy at work.
 If family planning methods and services (contraceptives) are available, birth
rate will decrease.
 In order to have a boy or girl, will increase birth rate. Increase in divorce
rate will increase birth rate as they get married to others and have more
children
 The birth rate will be low if it is too expensive to have children due to laws of
limiting number of children and high cost of education and health.
2. Death rate
 The number of deaths in a year per 1000 population
FACTORS AFFECTING DEATH RATE
 Death rate would decrease if better medical facilities and nutritious food
are available
 High life expectancy will reduce death rate, and low life expectancy will
increase death rate.
(Life expectancy rate  It is the estimated number of years a person
would live)
 Death rate would reduce if basic facilities like nutritious food, clean water,
fresh air, good sanitation are available.
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 Death rate would reduce if the country has good housing conditions, better
quality medical care , and less involvement in military actions
 Advancement in technology would bring better medicines and new
methods to improve life expectancy, which reduce death rate
 Natural disasters (tsunami, earth quakes, floods) and man-made disasters
(war) destroy lots of lives and increase death rate
 A country in which people have healthy diets, enjoy good housing facilities, do
not smoke or consume alcohol, exercise regularly, enjoy good working
condition and if the country is at peace with other countries is likely to have a
lower death rate
 High infant mortality rate can increase the death rate
3. Infant mortality rate
The number of infant deaths per 1000 live births in a year. High infant mortality
rate can limit the population growth of the country
4. Net migration
 It occurs when more people come into the country to live (immigrants) than
people who leave the country to live somewhere (emigrants)
FACTORS AFFECTING IMMIGRATION
The rate and pattern of migration is affected by
 Living standards at abroad is better (or believed as better), people emigrate
 No restriction to immigration by other countries can increase emigration
 People emigrate for better education and employment opportunities in abroad
POPULATION STRUCTURES
1. SEX DISTRIBUTION OF POPULATION
 This shows the number of males compared to number of females. In some
countries, there are more number of males than females, but in other
countries, it’s the opposite.
 The reason is in some countries, more females emigrate than males. And some
countries like china favours males more than females, so they do abortion if the
baby is a female. Some governments ban the scan of fetus just in case they
might adopt if the baby is female.
 It is presented in the form of a ratio called sex ratio. Sex ratio is the number
of males per hundred females of the population.
 No. of males  Reason for fall in birth rate could be better awareness and family planning methods
 Sex ratio= ×100
No. of females  Reason for lower death rate could be due to better medical facilities and high life
expectancy
2. AGE DISTRIBUTION OF POPULATION  More people in the working age group, hence more productive, higher output and
 It is the division of the population into different age group, people under 16, income and economic growth with high standard of living
between 16 – 64, and over 65.  More people surviving till they enter old age (ageing population is high) due to high
 The population pyramids shows detailed breakdown of different age groups life expectancy and high quality medic
POPULATION PYRAMID OF A DEVELOPING COUNTRY  Dependent population is lower than working age group

 It is associated with high birth rates and high death rates

 It has a large proportion of young people in its population with small
percentage of people reaching older age groups.
 A high dependency ratio is obvious (due to high birth rate)
 More number of people will be in the lowest age group due to high birth rate
which is the reason for the broad base of the pyramid.
 Top portion is narrow due to high death rate
 Less working population results in low output, low income and low standard of
living

GEOGRAPHICAL DISTRIBUTION OF POPULATION

 It refers to the distribution of population among various regions. It is found out by
measuring the density of population of regions.

Density of Population
It is the number of people living in one square kilometer.
total population
Density of population=
total land area(¿ sq km)
Urbanization refers to the movement of people from rural areas to urban areas (cities
and towns). So the population density is high in urban areas
POPULATION PYRAMID OF A DEVELOPED COUNTRY
 it is associated with a lower birth rate and lower death rate Factors affecting geographical distribution of population

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 people will move to those are where they can get access to nutritious food, clean
water, better medical, health, and education facilities
 people like to live in those area where they have pleasant working conditions.
People dislike to live in extremely cold or hot places
 people like to live and move to those areas where they have employment
opportunities, so they can get income to live
 more people like to live in commercial and industrial areas (city area) than towns as
they can get better goods and services and employment.
 people like to live in those places where there is more peace and harmony
 more number of people found in areas where there is better transport and
communication
Effects of geographical distribution of population
 workers are scattered (labour force is divided) into different parts of the region, and
cannot get all skilled workers in one part of the country)
 fully functional social and economic facilities are difficult to provide to all areas
specially to those less people are living
 works and resources have to be divided to different regions, leading to unnecessary
duplication of work and resources
 producers will find less customers, hence small market in those areas where less
people are living
 standard of living in urban areas will be high than rural areas as more people would
be living in urban areas. It would be difficult to develop those areas where less
people are living.
 as people are distributed to different regions, people will always migrate internally
to those regions where there is more development
OCCUPATIONAL DISTRIBUTION OF POPULATION
 It refers to the distribution of population among different sectors in the economy.
In developing countries, larger percentage of the workforce is employed in the primary
sector and small percentage of population in secondary and tertiary sector. This is
mainly due to lack of technology, low productivity, lack of education and skills.
In developed countries, larger percentage of the workforce is employed in the
secondary and tertiary sector, and less percentage in the primary sector. This does not
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mean the output in the primary sector is low. But due to advance technology, new
techniques of production and increased in productivity results in more output as they
use more machines and less labours in all the sectors.
Recent changes in the pattern of occupational distribution of population
 Employment in primary sector has been falling
 Employment in the secondary sector has also been falling
 Employment in the tertiary sector has been rising
 There has been a gradual swing from manual to non-manual occupations
 More women entered into the workforce
 A significant rise in the number of part time employees
 Number of self-employed has been increasing.
Barriers to Occupational Distribution
 slow development of industries needs less labours in the secondary sector
 less industries need labours because they use capital intensive methods using more
machineries. this makes labours out of use
 lack of education and training facilities means labours would not get skills and
educations needed, hence they could not find jobs
 people do not like to work risky and unpleasant jobs. Also some jobs in nature
needs certain skilled people like singers, actors.. etc
EFFECTS OF POPULATION GROWTH
ADVANTAGES OF POPULATION GROWTH
• Increasing population due to net immigration would bring new workers increasing
the labour force and which will increase the resource, labour.
• If the population grow and is below the optimum size, the country will be able to
make better use of resources.
• High labour force means different workers would get skilled in different jobs
learning about new methods and ideas as expanding industries will employ them,
which can increase the factor mobility of labour, as firms training cost will reduce
• Increase in population will increase the size of home market, helping firms to enjoy
economies of scale and reduce average cost.
• Increase in population can increase the demand for goods and services, increasing
investments in the economy and may lead to introduction of new technology. This
can also create more employments.

DISADVANTAGES OF POPULATION GROWTH
• High population would require higher government expenditure on basic facilities
and other goods and services to the extra number of dependants. This can reduce
the funds available for the development of the country.
• The provision of health care and education may increase due to increasing
population growth but health care and education per head may fall.
• As population gets higher, resources become more scarce leading to high
unemployment in the country. This can reduce wage level as there would be a high
supply of labour
• Scarcity of resources can reduce food production, housing, education, health
facilities and job opportunities
• There is a greater chance of increasing poverty due to higher unemployment and
reduced income as a result of higher population
• Increased government expenditure on basic facilities can reduce its investment in
development of the country
• Higher population leads to the production of consumer goods which reduces the
production of capital goods and infrastructure
• Over population can lead to overcrowding and puts a reassure on housing, which
creates social and environmental problems like more overcrowding, congestion,
pollution, traffic problems and more crime rates
• Higher population can lead to an increase the price level as a high demand for
goods and services. This can again cause balance of payment problems as imports
would be cheaper
• More dependants in the population may result in higher imports, and some of the
resources have to be used for home market instead of the exports. This can create
balance of payment problems
WAYS OF REDUCING POPULATION GROWTH AND BIRTH RATE
Population growth can be reduced by reducing immigration and country’s birth rate.
 Improving educational opportunities for women can lead to women awareness of
more contraceptive methods, marry later. This can restrict family size.
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 The education and employment opportunities will encourage women to devote her
time in work and not marital issues
 Also the educating women will help them to learn methods to raise better children
with higher education and higher productivity for their future
 Better information and increased availability of family planning services will make it
more likely that households will able to limit their family sizes.
 Improvement in health care and nutrition can reduce infant mortality rate and in
turn the birth rate.
 One reason for large family size is the social security and the support for old age. By
setting up pension and sickness insurance schemes will reduce the need for large
family support.
 A government can also increase the cost of having children by raising the school
leaving age, so that young women marriage would be less.
 It can also reduce or stop the financial support it gives to families for each extra
child, instead they can provides incentives reduce number of children.
 The most extreme measure is to make illegal to have children above a specified
number.
EFFECTS OF AGEING POPULATION
Developed countries usually face the problem of increasing ageing population, who are
considered to be dependants.
AGEING POPULATION:
 the average age is rising. It can be caused by fall in birth rate and a fall in death
rate, net emigration, and high life expectancy.
CONSEQUENCES:
 if people are living longer, and there are fewer workers due to net emigration,
there will be a greater proportion of consumers to workers, that is high
dependency ratio.
 Ageing population can lead to high number of older workers in the labour force.
Older workers are occupationally and geographically less mobile. However, they
will be more experienced, reliable and patient.
 The elderly place high burden on health care, increasing demand for health service
 Ageing people will need greater care for welfare service such as caring at homes
and retirement homes.
 A rise in ageing population can increase the cost of state and private pensions in
providing health care.
 Ageing population will have difficulty to cope up with changes in modern
technology which can reduce their productivity, and standard of living in the
country
EFFECTS OF NET EMIGRATION
 The size of the working population is likely to be reduced since most emigrants
tends to be working age. The remaining labour force will have a greater burden of
dependency.
 The average age of labour force will increase. This may make it less mobile.
 The sex distribution of the population of he population may be affected. In some
countries, some men emigrate than women.
 There may be a shortage of a particular skill if it is mainly workers from one
particular category eg. Eg. Medical care who emigrate.
 There may be under-utilisation of resources, the country may become under
populated.
 Those who emigrate may send money back to home country to help relatives, this
can improve balance of payment.
INTERNAL MIGRATION
 Workers tend to migrate from rural to urban areas to seach for better jobs and
higher incomes. Such migrants may supply growing industries, allowing better
allocation of resources
 Internal migration may also increase living standards in rural areas if they send
money back to their relatives, and also if they had previously been underemployed.
HOWEVER
 If it’s the most productive agricultural workers that leave, agricultural prodctivity
will fall
 There is also no guaranty that enough jobs will be available in urban areas
 External cost may increase including overcrowding, increased pressure on social
capital, congestion and traffic problems
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PROBLEMS FACING DEVELOPING ECONOMIES
 High growth of population due to high birth rate can result in the resources
being used to feed and educate the children. These resources could have been
used to improve country’s productive capacity and living standards.
 Many poor country’s have borrowed heavily and are in high international debt.
Hence, the money cannot be used for education, health care and investment,
instead paying debts.
 They depend on exporting primary products, and the price of primary products
have been falling, compared to manufactured goods and services. So they
receive less from exports but have to pay more for imports.
 MNCs open business in developing countries, increasing employment wages,
training and educating workers, bring in new technology and improve
infrastructure. But they pay less than their home country, deplete on-
renewable resources, cause pollution, and put pressure on government of
developing countries to make laws such as reducing health and safety
regulations
 Government unable to spend education, training and capital goods leads to fall
in productivity, fall in technology and have no international competitiveness.
 Highly skilled workers such as doctors, nurses, teachers may seek a better paid
employment from abroad. So their work cannot be seen in the home country.
Explain net migration and consider whether it is likely to be the main factor affecting the
size of country’s population.[6]
 Net migration is the difference between immigration (movement of people in to a
country) and emigration (movement of people out a country). It is an influence
affecting the size of population. However, other factors such as birth rate, death rate,
fertility rate.
 Birth rate is number of live births per thousand of the population in a year which is
also known as crude birth rate. If birth rate of a country is high, the size of country
population is likely to high.
 Besides, death rate is the number of registered deaths per thousand of the
population in a year. It is also known as crude death rate. If death rate of a country is
high, the population growth rate of a country will be low leading to lower size of
country’s population.
  Also fertility rate (average number of children per woman) which is closely related to
birth rate if higher population and its growth so affecting the size of country’s
population.
Explain what is meant when a country is said to be overpopulated.[4]
 Over population occurs when a population of a country is too large to make the
best of its available resources.
 The few goods and services produced are shared among too many people. Its
effects are under production, low per capita income, low standard of living and
poverty. . It is not simply a matter of a country having a very large population e.g. /
china, India. Singapore with a population of only 6 million could be said to be
overpopulated
 The target of every country is optimum population refers to size of population
which given the existing and stock, capital and technical knowledge could produce
the maximum amount of goods (output) or services per head. The optimum
population will lead to higher production, high, demand, maximum per capita
output or income and high standard of living
Discuss whether the population problems found in the developing world are the same as
those found in the developed world. [10]
 Population means the total number of people living in a country in a particular area
over a given period of time. All countries world-wide whether developed or
developing are facing some population problems but these differ.
 Developing countries face many population problems. Birth rate (no. of. Live birth
per 1000 of population in a year) is very high. This is due to less consideration to
have small families and less knowledge and availability of family planning methods
and contraception.
 The death rate being high is also serious problem as it is due to lack of good
healthcare and medical facilities.
 The fertility rate is also high, therefore the size of population and its growth is high
with an ever growing number of children below 18.
 It will increase government expenditure on education and health and more
resources have to be diverted to produce consumer goods instead of capital goods
 They have high dependency ratio and burden on working population which reduces
standard of living leading to poverty, low income.
 Also more people do not migrate and live in rural shorty towns.
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 Developed countries face population problem such as low birth rate. This is fearful
as it may decrease working population in future.
 It also has a low death rate which results in ageing population or increasing the
number of people in older age group. When this happens, more resources have to
be diverted to production of goods and service required for old age people. It also
increases government expenditure on health services and retirement pension.
 Besides, it will be difficult for old people to adjust with the modern fashion and
technical progress.
 Even though it enjoys, high working population is may not be always desirable as it
will increase government expenditure as it has to provide jobs for people.
 Fertility rate will be low so which may result woman lose confidence is getting kids
leading to social problem.
Explain why the rate of population growth varies so much between some countries.[6]
Rate of population growth in different countries are varying due to factors such as birth
rate, death rate, net migration etc.…
 Firstly, the birthrate of different countries may be different that is number of live birth
per thousand of population in a year. It is effected by influences such as marriage, sex
preference, social and cultural beliefs, availability of family planning methods etc.
….which may differ in different countries.
 Moreover, death rate or the number of registered death per thousand of population in
the year is also different between nation regarding factors such as life expectancy,
availability of healthcare and medical facilities etc.… so which lead leads to different
population growth rate in different countries.
 Furthermore, net migration or difference between immigration (number of people
coming into a country) and emigration (number of people going out of a country) will
be different in different countries due to wars, famine, and industrial opportunities,
climatic condition etc.…. which leads to varied population growth.
Explain what influences’ a country’s birth-rate. [6] Birthrate is the number of live births per
thousand of population in a year. It is influenced by a range of reasons.
 First of all, ages of marriage have a significant effect on country’s birthrate. If a
country’s citizen insists marrying at early age its birthrate is likely to be higher than if
they marry only at a later age.
  Besides, availability of family planning methods can bring changes in a nation’s Describe how the (i) occupational, (ii) age and (iii) geographical structure of population is
birthrate. If better family planning methods are available in a country the birthrate likely to change as a country becomes more developed. [6]
of that particular country will tend to be high and vice versa
(i) It is the distribution of a country’s working population among its different
 Education about contraception and availability of birth reducing tools will reduce a
sectors of the economy; primary, secondary; tertiary. When a country is
country’s birthrate. But as no education in locals and no availability of such tools will
developing high proportion of its workforce will be employed in primary sector
increase a country’s birthrate.
eg/ fishing, farming etc.…..but when a nation becomes full employed high
 Birthrate also depends upon cultural and religious beliefs. Some cultural and
proportion of its workforce will employed in tertiary sector activities such as
religious support to have many children while others not.
banking, insurance.
 Sex preference and divorce rate can also bring changes in a country’s birthrate.
(ii) (ii) When a country becomes developed it may result an ageing population.
 Also social and economic development of the country can influence a nation’s
This is because fall in birth rate; less number of children below is 18 due to
birthrate. In developing birthrate is high due to poor medical facilities but in
better family planning methods and less death rate. More number of old aged
developed low birthrate due to better healthcare.
people due to better healthcare facilities.
(iii) (iii) The percentage of people (population) will be living in urban area such as
cities than rural area. Such as shanty knowns where they may be lower
Discuss the actions a government might take to reduce poverty. percentage of population. This is because of urbanization (the moment of
 Firstly, it can invite direct foreign investment from overseas such as multi-nationals people from rural to urban areas) when a nation become developed.
companies which creates many employment opportunities for locals to work, earn
income and improve living standard.
 Also, if better education institutions are established. It will provide skills and
qualification for people to guarantee a good paid job
 establishment of hospitals helps to reduce the poverty as more educated healthier
workforce will work more efficiently and productively which will lead to higher GDP
(gross domestic product) resulting higher production and economic growth.
 Besides, it can provide employment chances for locals through public works to reduce
spending.
 Moreover, increased spending by government is necessary to hinder poverty in an
economy.
 Furthermore, provision of better infrastructural facilities such as housing, good roads,
harbors, airports/seaports will help to fulfill their basic needs and to reduce level of
poverty. I
 n addition, influencing public sector by either giving tax or subsidies to encourage
them to produce more and improvement in role of private sectors under principle of
privatization also help to benefit the people through use of market forces to allocate
resources and determine prices helps to reduce the poverty.

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