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Introduction |
Home TheoriesThe Dependency RatioNext theory - Dependency Theory >> A rapidly growing population with a high fertility rate will mean that a relatively large proportion of the population consists of children. An examination of the population pyramid for Zambia shows the high proportion of under 15-year-olds making up the population - the pyramid has a large base. The children will be dependent on the land and their families for sustenance. In addition to children, adults who have left the labour force because of their advanced age are also dependent. The dependency ratio is calculated by the following formula:
A dependency ratio of 0.9 means there are 9 dependants for every 10 working-age people. It indicates the economic responsibility of those economically active in providing for those that are not. One should bear in mind that in many LDCs that there is a large number of people who are underemployed who would be counted amongst the working age population however have very low levels of productivity. It should also be remembered that many children in Zambia are economically active either working on the land or in the informal sector of the economy. The dependency ratio is a measure of the dependence that non-working people have on working people. One of the results of the AIDS/HIV epidemic in Zambia is the increased mortality rate amongst working age population. The dependency ratio would be expected to rise. The larger the dependency ratio, the greater the responsibility the government has to provide basic consumption needs for those people who are dependent. There is also need to invest in social infrastructure such as schools and health care to those people who are dependent. Next theory - Dependency Theory >>
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