Business Studies Form 3 Notes : POPULATION AND EMPLOYMENT

POPULATION AND EMPLOYMENT

Introduction

Population refers to the number of human beings living in a particular region at a particular time.

The size of the population is determined through a national headcount, known as a national census. It is an international requirement that each country conducts a national census at least every ten years.

Population issues are major concerns for business people because people are consumers of goods and services as well as providers of factors of production.

Basic concepts in population

1. Fertility – defined as the ability of a woman to give birth to a live child.
2. Fertility rate – refers to the average number of children born per woman during her childbearing years in a given population.

Factors that determine fertility rate

• Literacy levels among women.
• The marriage rate among people in the productive age bracket.
• Cost of bringing up children.
• Economic significance of a large family, e.g., children seen as a source of cheap labour.
• Cultural beliefs, e.g., where many children are a source of prestige.
• Availability of medical facilities.
• Religious factors, e.g., where some religions prohibit the use of family planning.

3. Birth rate – refers to the number of live births per 1,000 people per year. This is also referred to as crude birth rate and may be calculated as follows:

CBR = Number of Births × 1000 / Total population

Factors that are likely to lead to high birth rates

• Cultural practices, e.g., taking children as security during old age.
• Early marriages prolonging the woman’s reproductive life.
• Children being seen as a source of cheap labour.
• Opposition to family planning methods.
• Ignorance – lack of knowledge of family planning methods.
• Religious beliefs encouraging large families and discouraging use of family planning methods.

Factors that may lead to decline in birth rates

• Delayed marriages due to factors such as staying in school for a long period.
• Desire for high standards of living leading to people having fewer children.
• Where small families are considered fashionable.
• Use of family planning methods.
• Availability of retirement schemes making people stop having children as security in old age.

4. Mortality/death rate – refers to the number of people who die per 1,000 people per year. It is also known as the natural attrition rate and may be calculated as follows:

MR = Number of deaths × 1000 / Total population

5. Infant mortality rate – refers to the number of child deaths per 1,000 children below the age of one year per annum.
6. Population growth rate – refers to the rate at which the population of a country is increasing or decreasing. It can be calculated as follows.