ECON2013 Development Economics Week 5: Class on Population © Peter Smith, February 22 2010 This work is licensed under a Creative Commons licenceCreative.

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ECON2013 Development Economics Week 5: Class on Population © Peter Smith, February This work is licensed under a Creative Commons licenceCreative Commons

Two different views on population growth …the greatest obstacle to the economic and social advancement of the majority of peoples in the underdeveloped world is rampant population growth…the threat of unmanageable population pressures is very much like the threat of nuclear war… (Robert McNamara) Take care of the people and the population will take care of itself. (UN World Population Congress)

Questions for discussion Is population growth a real problem? Why? What factors at the microeconomic level might contribute to the high birth rate seen in many LDCs?

What determines the net price of children? Costs: Benefits

The microeconomics of fertility No of surviving children MB, MC of children MB MC C*

Policy implications?

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