Dependency Ratio

The dependency ratio is a measure of the relationship between the number of people who are economically dependent on others and the number of people who are economically productive. It is calculated by dividing the number of people who are younger than 15 or older than 64 by the number of people who are between 15 and 64.

The dependency ratio is an important indicator of a country's economic development. A high dependency ratio means that there are more people who are not working than there are people who are working, which can put a strain on the economy. A low dependency ratio means that there are more people who are working than there are people who are not working, which can help to boost economic growth.

The dependency ratio can also be used to compare different countries. Countries with a high dependency ratio are often less developed than countries with a low dependency ratio. This is because a high dependency ratio means that there are more people who are not working and therefore not contributing to the economy.

The dependency ratio is a complex concept, but it is an important indicator of a country's economic development. It can be used to compare different countries and to track changes in a country's economic status over time.

Here are some additional details about the dependency ratio:

• The dependency ratio is often used to measure the burden of an aging population. As people live longer, the number of people who are older than 64 increases. This can put a strain on the economy, as there are fewer people who are working to support the older population.
• The dependency ratio can also be used to measure the burden of a young population. In countries with high birth rates, the number of people who are younger than 15 can be high. This can also put a strain on the economy, as there are fewer people who are working to support the young population.
• The dependency ratio is not a perfect measure of a country's economic development. It does not take into account the productivity of the working population or the size of the informal economy. However, it is still a useful indicator of a country's economic status.

The dependency ratio is an important concept to understand for anyone who is interested in economics or international development. It is a complex concept, but it is also a valuable tool for understanding the relationship between population and economic growth.