- The population structure in a country is the starting point for the demographic dividend:
1. If a population has a
very large young workforce, there is great potential to harness this to accelerate economic growth of the country.
- The demographic dividend may develop only if two other demographic conditions co-exist:
2. the
number of births each year declines >> the young dependent population will grow smaller in relation to the working-age population.
3. the
population has not yet achieved very high life expectancy >> a relatively small old age dependency.
With more workers and fewer young people and ageing population not fully established a country has a window of opportunity for accelerated economic growth.