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Economic Effects of Population Growth. Economic Effects of positive Population growth (positive relates to a growing population with a younger base and.

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Presentation on theme: "Economic Effects of Population Growth. Economic Effects of positive Population growth (positive relates to a growing population with a younger base and."— Presentation transcript:

1 Economic Effects of Population Growth

2 Economic Effects of positive Population growth (positive relates to a growing population with a younger base and educated in skills the country requires) A growing local market for goods and services more people means more demand for different types of goods and services. An increase in the labour force a bigger population helps to grow the labour force and overcome skill shortages in an economy.

3 Economic Effects of positive Population growth Changes in the allocation of resources the make-up of a population alters the way resources are allocated. Older people demand different goods ad services from younger people. Increase in tax revenues assuming increases in population are coupled with employment, a higher working population will result in increasing tax revenues which can be used by the government to provide increased infrastructure and development of the economy.

4 Economic Effects of positive Population growth What if questions: What if the population growth is predominately refugees from a poor country (Economic growth) the labour force increases with highly skilled people The population is made up of a high proportion of aged over 55 (allocation of resources) population increase results in more people working (tax revenues)

5 Non Economic Effects of Population growth Cultural Diversity Immigrants from different countries will lead to cultural diversity in an economy, different foods, fashion, attitudes, services that can increase material and non material living standards. Reduced social cohesion if a country does not have programs in place to integrate immigrants into an economy it can lead to reduced social cohesion and effect non material living standards.

6 Non Economic Effects of Population Change Environmental Costs With increased population resources are used faster and can be depleted. Pollution of the air and water resources such as the ocean and river and lakes can occur. Environmental damage can occur in areas through over crowding, traffic issues, stress, etc

7 Non Economic Effects of Population Change What if effects: the population growth is predominately from China (cultural diversity) The population growth is from predominately middle east countries experiencing wars and civil conflict (social cohesion) Population increase is mainly in the cities of Sydney and Melbourne (environmental)


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