11.4 Characteristics of Countries at Different Levels of Development
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11.4.1 Population
Definition: Birth rate: number of live births per 1000 population per year. Death rate: number of deaths per 1000 population per year. Infant mortality rate: number of deaths of infants under one year old per 1000 live births per year. Net migration rate: (immigrants − emigrants) per 1000 population per year.

Worked example: population growth

Birth rate = 19 per 1000; death rate = 7 per 1000; net migration = −0.4 per 1000. Natural increase = 19 − 7 = 12 per 1000 = 1.2%. Population growth = (12 − 0.4) ÷ 1000 = 1.16% a year. In a country of 100 million: population rises by 1.16 million in a year.

Figure: The demographic transition: birth and death rates as countries develop

Developing countries typically have higher birth rates and infant mortality, a young population (wide-based pyramid) and a high dependency ratio of children; developed countries have low birth and death rates and an ageing population (high old-age dependency). India is in stage 3 of the demographic transition, with a large working-age population (demographic dividend) that can boost growth if jobs and skills are provided.

Figure: Population pyramids: developing and developed economies
Definition: Optimum population: the size of population at which output (income) per head is maximised, given the quantity of other resources and the state of technology. A country below it is under-populated (more people would raise output per head through specialisation and economies of scale); above it, over-populated (diminishing returns to labour reduce output per head). The optimum changes as technology and capital change.

Urbanisation: the increase in the proportion of a population living in towns and cities. It is associated with industrialisation and higher productivity (agglomeration economies), better access to services and jobs, but also with congestion, pollution, slums and pressure on infrastructure (Mumbai, Dhaka, Lagos). Around 35–40% of Indians live in urban areas, rising steadily.

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