Chapter 26

Economic Population Definitions Demography is the statistical study of human population. A country is under-populated when an increase in the population causes an increase in the average income per head under given economic resources. A country is overpopulated when an increase in population causes a decrease in the average income per head under given economic resources. Optimum population is when the average income per head is at its highest possible level under given economic resources.

Economic Population Definitions cont. Birth rate is the average number of live births per 1,000 people per year. Fertility rate is the number of live births in a geographic area in a year per 1,000 women of childbearing age. Total fertility rate is the average number of babies born to women during their reproductive years.

Difference in Fertility between Developed and Developing Nations Developed Countries Many women opt to concentrate on their careers rather than have children. Increasing sexual equality means that women have more control over their own fertility. It is often viewed that children are very expensive to rear and educate. A vital factor is that there is a ready availability of contraception and family planning advice.

Difference in Fertility between Developed and Developing Nations cont. Less Developed Countries Many parents have a lot of children in the expectation that some will die because of a high infant mortality rate in their region. Children are viewed as essential in families because they contribute to household income, either by way of government support or employment. There may be a shortage of family planning facilities and advice.

Factors that Contribute to the Death Rate Infant mortality refers to the number of children out of every 1,000 born alive who die on or before their first birthday. Death rate is the average number of deaths per 1,000 people per year. There are a number of factors that contribute to this, including: Dirty and unreliable water supplies Poor housing conditions Poor access to medical services Endemic disease in some countries Diets that are short in calories and/or protein

Total population of a country Total land area of a country Life expectancy is the number of years, based on statistical averages, that a given person of a specific age, class or other demographic variable may be expected to continue living. Density of population is the average number of people per square kilometre. Total population of a country Total land area of a country Dependency ratio: Number of people aged under 15 and over 65 Number of people aged between 15 and 65

Migration Definitions Net migration is the difference between outward migration (emigration) and inward migration (immigration) during a period of time. Emigration: Irish citizens leaving Ireland and moving to live abroad. Immigration: Citizens of other countries entering Ireland to live.

Factors that Influence Migration Push forces High levels of unemployment Low wage rates Lack of promotion opportunities Poor social infrastructure Political instability Religious persecution Desire to seek new experiences and employment outside of one’s native homeland

Factors that Influence Migration cont. Pull forces Employment opportunities Higher wages Better standard of living Job experience Greater political stability abroad A more attractive climate The desire to broaden one’s outlook on the world

Economic Consequences of an Increase in Emigration Higher dependency ratio Opportunity costs ‘Brain drain’ Smaller domestic market Demand for state services Unemployment reduced International connections Upward pressure on Irish wage levels A reduction in social costs Loss of potential investment

Economic Consequences for a Country Experiencing Increased Immigration Increased demand for goods and services Government revenue increases Reduction in labour shortages Greater utilisation of services New skills/traditions within society Pressure on provision of state services

Economic Consequences for a Country Experiencing Increased Immigration cont. Increased pressure on infrastructure Exploitation of immigrants Dependency ratio changes Resentment/racism Land and property values increase

Characteristics of an Ageing Population An ageing population is defined by a population who: Is living longer Has an average lifespan that is increasing Has a growing percentage of the population who are in an older age bracket

Possible Economic Effects of an Ageing Population on the Irish Economy Pressure on the provision of state pensions Increased tax burden Increased government expenditure Changing pattern of demand The participation rate falls Reduced mobility of labour

Thomas Malthus (1766–1834) He thought population growth could be halted by positive checks on population. His predictions on population growth did not materialise due to improvements in agricultural technology, which made land more productive, and the slowdown in the rate of population growth in developed countries.

Thomas Malthus (1766–1834) cont. His iron law of wages/subsistence wages theory stated that any wages paid to workers in excess of the subsistence level would cause an increase in population. This would in turn lead to a growth in the supply of labour, which would lead to a fall in the wage rate. This fall in the wage rate would lead to a decrease in population and move wages up to subsistence level.

The Census The census is the official count of the nation’s people and a compilation of economic, social and other data. It is used by the government in the formulation of development policies and plans.

Economic Uses for a Census of Population in Ireland Demographic changes Infrastructural requirements Planning and the provision of essential services Regional policy Pension planning Future levels of consumer demand Labour market Profiling of the population