Which one of the following defines elderly dependency ratio?
Show answer & explanation
Correct answer: B
Explanation
Correct Answer:-
The ratio of elderly (65+) to the working-age population
Explanation:-
The Elderly Dependency Ratio refers to the number of elderly individuals (aged 65 and above) who are dependent on every 100 people in the working-age population (typically aged 15–64) in an economy. It is a crucial indicator for assessing the demographic structure of a society and future needs related to healthcare and pensions.
Key Points.
Types of Dependency Ratios:
Youth Dependency Ratio: The ratio of children (0–14 years) to the working-age population.
Total Dependency Ratio: The sum of (Youth Dependents + Elderly Dependents) relative to the working-age population.
Important Questions and Answers
Question: What do you understand by the "working-age population"?
Answer: From an economic and demographic perspective, individuals aged 15 to 64 are considered the "working-age population," as they are typically capable of contributing to the economy's production and growth.
Question: If a country's elderly dependency ratio is consistently increasing, what does it indicate?
Answer: It indicates that the country's population is "aging." This suggests that the government will require more resources for long-term pensions, healthcare facilities, and specialized care for the elderly.
Would you like to explore how these demographic shifts impact a country's economic planning or national pension schemes?