Growth, Equity and Demographic Dividend in India
S. N. Nandy
HARSAC, CCS Haryana Agricultural University Campus, Hisar 125004, Haryana. E-mail: nandy.sn@gmail.com
Abstract: India is second largest country in terms of human population
and one of the fastest growing economies in the world. It has a dynamic
demography and demographic parameters are varied widely among
states. The economic growth of India is also not equitable; few states
are having moderate level of socio-economic development, while most
of the states are lagging behind for decades. State and district level
secondary data on selected demographic parameters has been collected
and compiled to map the distribution across state/districts. By and
large, there is a direct relationship between economic growth and human
development among districts. The anticipated ‘dividend’ due to the
large youth population is hard to realize as huge number of non-working
population is exist in economically active age group. The dependency
ratio is one of the prime factor of demographic dividend, is very high
among north Indian states, particularly in Bihar and Uttar Pradesh.
Though several states are showing a positive demographic progression,
such as lower decadal population growth rate, infant mortality and
fertility rate, etc. but a large number of non-working populations is
dependent on lesser number of economically active people across the
states. So the young and rapidly growing population of India could be
treated as a potential demographic dividend if the huge idle manpower
is employed efficiently.
Keywords: Demographic Dividend, Dependency Ratio, Economic
Growth, Poverty Index, HDI
INTRODUCTION
In economic context, a dividend is the proportional distribution of earned profit or
surplus (of a corporation) to all the stakeholders (shareholders) as reward. But in human
ecology a demographic dividend is the economic growth potential which is outcome
of decline in birth & death rates, and subsequent change in the age structure of the
population. The change in demographic age structure is towards more economically
active (younger generation) age group than the older age group population. And the
INDIAN DEVELOPMENT POLICY REVIEW
Vol. 3, No. 1, 2022, 123-135
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Article History
Received : 22 January 2022
Revised : 11 March 2022
Accepted : 13 April 2022
Published : 18 June 2022
Citation
Nandy, S. N. (2022). Growth,
Equity and Demographic
Dividend in India. Indian
Development Policy Review, Vol. 3,
No. 1, pp. 123-135.