Previous Year Question

Demographic dividend is the potential economic benefit available to a country when the proportion of its working-age population becomes larger relative to the dependent population.

Generally:

• Working-age population—15 to 64 years.

• Dependent population—children aged 0 to 14 years and persons aged 65 years or above.

A large working-age population does not automatically guarantee a demographic dividend. The benefit can be realised only when people possess suitable education, health, employment opportunities and skills aligned with labour-market requirements.

Option (a) is correct.

Skill development improves the employability and labour productivity of the working-age population. Trained workers can use modern technology, machinery and production processes more efficiently. This can increase employment, income, savings, investment and economic output.

If a large working-age population lacks skills and employment, the demographic dividend may turn into a demographic burden, producing unemployment, social discontent and greater pressure on resources.

Examination of the remaining options:

• Option (b): Social-security schemes are important, but they do not directly make the working-age population productive and employable.

• Option (c): Reducing infant mortality is an important health and human-development objective and forms part of demographic transition. However, skill development is the more direct measure for obtaining economic benefits from the existing youth population.

• Option (d): Privatisation of higher education is neither a necessary condition for demographic dividend nor a guarantee of universal access to skills and employment.

India must therefore promote vocational training, apprenticeships, reskilling and up-skilling, along with education, to realise the full demographic dividend.