Concept of the Demographic Dividend
The demographic dividend is an economic boost a country can gain when its working-age population grows large relative to the number of children and elderly people it must support.
Real World
South Korea capitalised on its demographic dividend from the 1970s to 1990s: a large cohort of working-age adults drove export-led manufacturing growth, helping transform the country from low-income to one of the world's wealthiest economies within a generation.
Exam Focus
Define the dependency ratio precisely and explain the timing mechanism — the dividend is temporary; examiners look for understanding that it closes as the population ages.
Essay Framework
Use PEEL to structure every paragraph. Tap each step for guidance and an example.
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