Economics
Economics
Economics
* Opening of new colonies: The opening of new colonies like America, Canada, and Australia etc.
provided the necessary land for human habitation.
* Interdependency of nations: The interdependency of nations, that is, nations depending on each other
for goods and services in large quantities as a result of international trade.
* Developments that have proven Malthusian theory right
Events that have proven Malthusian theory right are found in developing countries in Africa, Asia and
even in present day Nigeria. They are as follows:
1. Negative attitude: The practice of polygamy and giving birth to many children has made population to
increase on daily basis.
2. High population and low food production: Population of many developing countries is growing at a
geometric progression while food production is growing at an arithmetic progression.
3. Difficulties in eradicating poverty: Where population is higher than the means of subsistence, poverty
eradication become very difficult.
4. Poor economic development: Rapid population growth militates against rapid economic development.
5. Fallen standard of living: The standard of living of many developing countries has fallen as a result of
increase in population.
DEMOGRAPHIC TRANSITION THEORY
This theory provides historical analysis into the population problems of developing countries. It tends to
give reasons why all developed countries population history went through three identical stages.
The demographic transition theory recognizes three main stages in the process of population growth. The
three stages are:
A. Stage I: The pre-industrialisation stage
The main feature of this stage is the high birth rate and the high death rate. The population is either static
or increasing or decreasing at a very low rate. The population transition is said to be fairly stable at this
stage.
B. Stage II: Transitional stage
This stage is characterized by high birth rate accompanied by low death rate. This will lead to increase in
population as a result of a number of factors such as industrialization, urbanization, better diet, improved
health system, high income etc. This stage marks the beginning of demographic transition. Many
developing countries are at this stage.
C. Stage III: Post transitional stage
This stage is characterized by low birth rate and low death rate. In other words, there is a relatively stable
population with an older and larger population. Developed countries are at this stage.
CRITICISMS AGAINST THE DEMOGRAPHICTRANSITION THEORY
* It is wrong to use it for general application as it varies from one country to another.
*. Crude birth rate widely used in the theory is not the only way to measure fertility.
* The main causes of decline in population may vary in different countries.
* It fails to predict the level of birth rate and death rate.
OVERPOPULATION
This is defined as a situation where a country has more people than its physical and human resources. In
overpopulation people compete with scarce resources bringing about a fall in the living standard of the
people.
Advantages of over population
1. Large labour: Over population provides large work force.
2. Large market: Over population is a source of large market for the goods produced by the industries.
3. Defence: It brings about a high level of recruitment of personnel for the army and order law
enforcement agencies.
4. Quick information dissemination: Information is easily disseminated from person to person in over
population.
5. Attraction to investors: Investors are easily attracted to areas of high population. Over population
provides the large market for the finished products of investors.
6. Urbanization: overpopulation leads to urbanization.
7. Respect from international bodies: Countries with over population are normally respected by
international bodies like W.H.O., U.N etc.
8. Attraction of foreign aids: overpopulated countries do enjoy foreign aid from developed countries like
the United States of America, Japan etc.
Disadvantages of overpopulation
The economic effects of a large population include:
1. Pressure on natural resources: Natural resources like farmlands, minerals etc. are over exploited.
2. Increase in crime wave: Armed robbery, car snatching, kidnapping etc. are associated with areas with
overpopulation. This may be due to lack of employment opportunities, poor living standard etc.
3. Insufficient food: As a result of high influx of people into an area, there will not be enough food to
cater for the high population density.
4. Unemployment/underemployment: There are usually few or no employment opportunities for people in
overpopulation.
5. Inadequate housing: Like it is in food and employment shortages, so it in housing the volume of people
in a situation of overpopulation.
6. Traffic congestion: As a result of overpopulation, people tend to travel and move from one point to
another on the road at the same time causing traffic congestion.
7. Environmental pollution: Poor housing, turn out of waste materials due to high level of human
activities generally lead to environmental pollution.
8. Pressure on social amenities: Social amenities like pipe borne water, electricity etc. are over stretched
as a result of overpopulation.
9. Inadequate health services: As a result of overpopulation, there is always inadequate health
infrastructures and personnel to cater for the ever increasing population of people.
10. Reduction on standard of living: Without a proportionate increase in natural resources, the standard of
living of the people.
11. High cost of living: Overpopulation will result in a corresponding demand in goods and services and
where these are not supplied in large quantity, it will lead to high cost of commodities.
How to control population growth
1. Family planning: People are advised to go for family planning in order to determine the number of
children they can have and cater for.
2. Discouragement of early marriage: Early marriage promotes high birth rate and so it is discouraged.
3. Increase in food supply: Increase in food supply is made possible through mechanization, provision of
fertilizers and improved seedlings to boost agricultural production.
4. Encouragement of monogamy: Polygamy, which is the marrying of many wives and hence the giving
birth of many children is discouraged. And so monogamy, which is the marriage between one man and
one woman is encouraged.
5. Limiting the size of towns: To prevent overpopulation, satellite towns are built with all construction
carefully and strategically planned to avoid overcrowding and traffic congestion.
6. Legalization of abortion: Abortion should be legalized to enable women terminate unwanted
pregnancy.
7. Provision of gainful employment for women: This will enable them have an occupation that will keep
them busy rather than constant breeding of children.
8. Stiffening of immigration laws: This will make it difficult for people to migrate to areas already
overpopulated.
9. Sex and mass education: The dangers of overpopulation are taught through mass education and sex
education.
10. Encouragement of emigration: This will ensure the movement of people from already overpopulated
areas.
OPTIMUM POPULATION
This means that the population of people is proportionate to available resources in that country. That is, it
is neither too small nor too big. Optimum population can be said to stand in between the two extremes of
over-population and under-population making it the best form of population. Optimum population is
dynamic hence it changes according to the changing quantity and quality of a country’s available
resources.
Implications of optimum population
* At a given level of technology, it balances population with available resources.
* The management or control of the economy that has optimum population is very easy.
* An optimum population ensures or secures maximum return per head.
* It is the population that produces full employment.
* It is a dynamic population that changes with the quantity and quality of a country’s available resources.
* It ensures the highest standard of living in a country.