The term “population distribution” refers to the manner in which the population of a particular country is divided into various categories like gender, age, and geographic distribution.
This is the breakdown of the country’s population into groups of ages. The distribution of age in economics is crucial as it demonstrates the value of the population as well as the quantity of workers needed in various areas in the economic system. The country’s population is divided into the following three groups of age. They are 0-17 years to 18-60 years, and 60 years and over.
Based on the classification above the population that falls within the age range 0-17 comprises children, infants and pupils in nursery secondary, primary and tertiary institutions. This group of people is referred to as dependent because they aren’t economically productive since they are unable to be employed on the labor market. They’ll have to rely on other groups to meet their requirements. If the number of people in this age group is extremely large, it will have a lot of economic consequences, including increasing the pressure upon the middle class a lack of savings, the need for education and other products and services. Visit:- https://populer.co.id/
The age range 18-60 is often called the active population , also known as the working population or the labor force. This is the age group that is involved in work-related activities or jobs. Because they comprise the majority of working people and depend on their own resources this is referred to as an independent people. If the proportion of people within this category is high it will result in a higher demand for labor and a higher quality of life.
The group of 60 years and over is considered to be the oldest age group, and just like youngsters (0-17 years) They do not engage in any productive activities therefore they are classified as dependent populations. In short, the distribution of age of a particular population could be classified as follows:
Children aged 0-17 (dependent population)
18-60 is considered to be an adult (working population or the labor force)
60 and over 60 years and above: Older age (dependent population).
The importance of age distribution of the Population
1. Tax determination: With the information on the age distribution of the population, the anticipated tax rate can be calculated by the number of individuals in the active section of the labor force.
2. Dependent knowledge The number of dependents (0-17 years old and 60 years or more) is easily determined by analyzing the distribution of age in the population.
3. The size of the labor force With a well-balanced age distribution the amount of people employed can be easily determined.
4. Budgeting for the government: The structure of an age group population can help the government create its budget. If , for instance, the number of the youngsters (0-17 year olds) is extremely large, that the government has to approve a large amount of money to pay for the necessities and services needed by the children in this age bracket, more than other age groups.
5. Production pattern: The demographic distribution can help the manufacturer determine the production pattern to meet the requirements of a specific age segment.
6. It defines the character of market: Understanding the structure of an age group in the population can help determine the type of market, for instance the population that has a high number of children will result in an increased market for goods and services.
7. It is the determinant of rate of birth and death The age structure of a group will determine the rates of birth and death for instance, if the number of elderly people is greater than other groups, that means the rate of death is likely to be greater.
8. It is the determinant of standard of living. age structure of a population will show the amount of income per capita and level of living. High dependency populations decrease the income per capital as well as the standard of living, a high working workforce or population boosts the income per capital as well as the standard of living.
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