Question

India is regarded as a country of 'Demographic Dividend'. This is due to _________.

• A. its high population in the age group below 15 years
• B. its high population in the age group of 15-64 years
• C. its high population in the age group above 65 years
• D. its high total population

Answer 1

The correct option is B its high population in the age group of 15-64 years

Growth in an economy as a result of the changing age structure of a country can be defined as demographic dividend. India has more than 60% of its population in the age-group of 15-64 years, which is capable of working and hence the highest potential to contribute to the need of labour and human capital. Higher demographic dividend also results in higher demand fuelled by greater savings and hence stimulates growth.