(a) What is under-population?
(b) Under what conditions will it be advantageous for a country to promote population growth?
(a) Under-population is a situation where the population is too small relative to the available resources. The standard of living of the area can be increased if the population is increased.
(b) The conditions under which it will be advantageous for a country to promote population growth will include:
(i) Small labour force: A small labour force relative to the available resources hinders specialization and economies of scale.
(ii) Small domestic market: The size of the market relative to national output also hinders large scale production and specialization.
(iii) Declining or aging population: This will stimulate a country to pro- 10. mote population growth.
(iv) High labour cost: The high cost of labour as a result of small labour force calls for the need to promote population growth in a country.
(v) Labour intensive technology: When technology is basically labour intensive, the need to promote population growth arises.
(vi) Population reduction: When a country with optimum population has experienced considerable reduction in population due to war or epidemics population growth has to be promoted.
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