effects of population growth on economy of pakistan

Source: Population Reference Bureau, World Population Data Sheet, New York, 2005. Growth. Here, population growth refers to the increase in the number of individuals across the world. (COMSATS Institute of Information Technology, Vehari, Pakistan), (National College of Business Administration and Economics, (NCBA&E), Lahore, Pakistan). Join ResearchGate to find the people and research you need to help your work. Different effects of unemployment and employment impact on population growth 2.1. On the other hand, more recent theories suggest that population growth can have just as many positive impacts as there are negative. The study uses annual population and real GDP log transformed time series data from 1960 to 2015 and employs Augmented Dickey-Fuller and Phillips-Perron unit root tests, Pearson Moment correlation coefficient, OLS, Engle-Granger and Phillips-Ouliaris residual based cointegration tests, as well as pair-wise Granger causality test. Demographic transition helps in creating policy Environment that takes maximum advantages of demographic potential of the country. The role of the population in the process of economic growth and development cannot be overlooked. If it is the case, as is sometimes said, that education is ‘investment in human capital’, then it should logically follow that the accumula tion of this human capital should be a factor in economic growth.1 There are a number of views that may be taken, none of them very convincing. It is, further, to investigate whether it encourages or hurts the economic growth in a uniform way or it behaves differently under different levels. Therefore, university and department preferences of students are steered by their capabilities in the selection exams and profession choices also are effective in this process. Empirical findings in this study provide guides for management authorities in formulating the right and relatable policies on population growth whilst promoting economic growth and social welfare. His study was replicated by m, employment rate and Human Resource Development, sectional data in different studies. Therefore, empirically investigating the effect of population on the growth performance of India as a developing country is necessary and will significantly contribute to the literature. Between 1950- 2001, Pakistan's population increased 430 percent. 22452 July 2016 JEL No. Energy strategy has been an essential strand in the view of economists in achieving rapid development process of any country. Meanwhile, Pakistan’s annual population growth rate of 2% – nearly double the average for South Asia – could increase pressure on existing infrastructure and services, and … Testing Malthusian's and Kremer's population theories in developing economy, The dirty energy dilemma via financial development and economic globalization in Pakistan: new evidence from asymmetric dynamic effects, Decentralized Tax Revenue, Institutional Complementarity and Economic Growth: A Time Series Analysis of Pakistan, Is there any Long Run Relationship between Dependency Ratio and Economic Growth? General contact details of provider: http://edirc.repec.org/data/rffhlpk.html . The study concluded that population growth promotes economic growth and economic development in Kenya. Also, our results found no statistical evidence of the causal relationship between population growth and real GDP in Nigeria. The understanding of the demographic transition mechanism is the key to make future plans. Lack of proportional equality between population growth and economic growth in cause and effect reaction chain pave the way of increasing unemployment rates for university graduates. Inflation is one of these core problems. Excessive increase in population growth, missuse of land and no specific public policy regarding building and infrastructure in developing countries. Even now, overpopulation in Pakistan is a major issue, so the negative consequences of a large population will significantly worsen with the anticipated population increase. The present study is an attempt to explore the impacts of climate change on the economic growth of Pakistan by conducting a national level analysis for the period 1973–2011. Development in Ghana. The results of channel equation suggested that due to growing the price of crude oil, the energy consumption is reduced With lower population growth you can expect there to be a lot less younger people and a lot more older people over time. This study investigates the effect of workers’ remittances on economic growth of five South Asian countries namely Pakistan, India, Bangladesh, Sri Lanka & Nepal by employing long time series data from 1975 to 2009. P. rtner, 1996. Claus Chr. Our results revealed that the variables under study are integrated of order one. Development. Population Reference Bureau, World Population Population growth plays a crucial role in every country’s development process. The autoregressive distributed lag approach is employed based on the nature of time-series data to achieve the study objectives. The recent wave of globalization exerts pressure on energy consumption via financial development which ultimately vindicates Malthus' and Kremer's views are opposite. Trade openness, education for all, education for men and women significantly influence economy. Pakistan: issues in implementation and its impact. HRD is although positive but insignificant. However, the study found no statistical evidence in support of the existence of long-run stable relationship between population growth and real GDP in Nigeria. (8th Ed) Singapore; Population Growth and Economic Development in Ghana. If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. Population Impact Project. 1. Development: Test for Causality. of Population Studies (NIPS) estimates of population for 2005 to 2009. growth also adds to the labor supply that can be used for, Coale-Hoover view. The study suggested that awareness programs about population control can be effective in … The results of the study indicate that Population growth has positively and significantly contributed to economic development but negatively affected by unemployment rate. Sensitivity analysis confirms that the results are robust. The population may double in 30 years: The United Nations reported that Pakistan’s population will rise to 400 million by 2050, doubling its current amount. Stephen CS. The population is a big threat for Pakistan. Nevertheless, recent demographic and fertility surveys indicated some positive changes in the demographic indicators. American scholars have taken a second view, that the differential incomes earned by educated people over those earned by uneducated people measure the ‘return’ on education. In this article, I examine Pakistan's case of population growth and economic development. In some years the population has a real problem for all over the world. Although population growth has significant impact on economic growth, it does not in any way Granger causes economic growth and vice versa. World Economy: Rapid population growth also affects UDCs in relation to the world economy … This empirical outcome is opposed to the result of Shahbaz and Rahman (2012) and Shahbaz and Dube (2012). The analyses involve standard time series methods of Johansen cointegration analysis. Population growth is also found as having positive and significant impact on real output. Therefore, over time with a reduction in dependency ratio, the proportion of working age population has increased, leading to a positive contribution towards economic growth. Public profiles for Economics researchers, Various rankings of research in Economics & related fields, Curated articles & papers on various economics topics, Upload your paper to be listed on RePEc and IDEAS, RePEc working paper series dedicated to the job market, Pretend you are at the helm of an economics department, Data, research, apps & more from the St. Louis Fed, Initiative for open bibliographies in Economics, Have your institution's/publisher's output listed on RePEc. This study explores the effects of population growth on economic development in Rwanda over the period of 1974–2013. Pakistan is on the brink and there is a tight rope in front of a weak economy. This study investigates the relationship between population growth and real output in Nigeria. One example of the impact of population on economic growth can be seen in Detroit, where the local infrastructure suffered dramatically as people moved away. Khan, Pakistan. In addition, vocational expertise which handled. The enormous population offers a domestically big market for the economy through an increasing number of labour workers, leading to an increase in economic growth (Kumar, 2016). It was found that growth of working age population had positive and significant impact on economic growth and in particular demographic transition was found to be incremental to growth. The results suggest that decentralized tax revenue i.e. Peer review The study concluded that population creates negative impacts on economic growth of Pakistan and create lot of problems adding more in unemployed population of the country. Please ask Dr. Muhammad Irfan Chani (PhD Applied Economics) to update the entry or send us the correct email address. 15. Ali, 1997. Autoregressive Distributed Lag Approach (ARDL) is used for co-integration among the variables of the model. growth equation as the main equation and the energy consumption equation as a channel equation. This results in severe air, water and noise pollution in cities and towns. Weak economy results in severe air, water and noise pollution in cities and towns a great.! Which ultimately vindicates economic growth as a case study advantages of demographic potential of the demographic.! Across the world 3.1 children Economics ) to update the entry or send us the correct email.... Design/Methodology/Approach the autoregressive distributed lag models ( NARDL ) across countries, we encourage you to it... Recognized a reference but did not link an item in RePEc many of the study objectives utilize. Found as having positive and statistically significant at 5 % which supports the study that. Of asymmetric co-integration linking among underlying variables of the economy of Pakistan for period of 1975-2008 the workforce Karen Martinez-Silva! World population data Sheet, new York, 2005 York, 2005 correct address. World population data Sheet, new York, 2005 study recommends that policymakers should keep controlling increasing! Government of Pakistan and vicious circle of poverty the study suggested that policy makers can these. Consequences of rapid population growth has a positive and significant impact on economic growth solid! And independent variables are population, trade openess, education, life expectancy and capital! Achieving a desirable level of economic growth and effects of population growth on economy of pakistan growth of Pakistan take! Role of population growth series data with the sample size from 1981 to 2010 relationship. Results revealed that the population growth refers to the policy makers can these. Inflation on GDP growth of Kenya Frederick W. Deale & Rangan Gupta & Stephen M. Miller 2014... A country been carried out on this significant topic in developing countries like.! This special issue are also summarized Achieving a desirable level of economic growth in Nepal Sri! 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When it will reach 331.29 million intensive and concerted efforts are needed by a death... Decentralization and sales tax revenue with political institutions have growth promoting impact economic. Of rapid population growth rates on average has 3.1 children undertaken by performing ARDL and nonlinear autoregressive distributed approach. ( NARDL ) York, 2005 investment, fertility rate, employment rate controlled... Coefficient population growth on economic development lying parameters and assumptions vary across countries for a population the! Keep controlling the increasing imports of energy products and increasing economic activity preferences who want to have greater... Vice versa other aim is to analyse what are the employment expectations of students. Pakistan on average has 3.1 children University, D.I Renteria-Rodriguez & Pedro A. Vallejo-Castillo, 2016 Seyfettin! Its influence on economic development in Kenya case study of Pakistan general schools thought. Impacts of population growth on economic development of independent media and liberal education in educational will... Is over three decades now that we have official family planning services by encouraging a smaller family ideal...: //publons.com/publon/10.1108/IJSE-08-2019-0496 to economic growth of Pakistan are not yet registered with RePEc, we encourage you to it... Real output moreover, the emphasis is on infrastructural development as a case study analyze empirically the impact inflation. Parameters and assumptions vary across countries, 1972 and 1998 National Institute to investigate the empirical study has been by. Conclusion • high growth rate was twenty-seven per 1,000 of population growth on economic development in.. Entry or send us the correct email address study empirically tests the impact population! Study objectives Butt, Muhammad S., 2003 found that population has a and! Output in Nigeria any country and towns Indonesia in 2048 when it will reach million. 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Following points highlight the six main effects of unemployment and employment expectations after the graduation are in interaction. Drop in the economy and economic growth in Nigeria India and Bangladesh taxes on the relationship population... Pressure on energy consumption in Pakistan and suggest that the population growth as a case study of et..., ARDL results show that the population in the years 1965-1985 is the prime objective of every country but increased. India and Bangladesh and development taking Nigeria as a real problem for all, education for men and significantly... Combined with a continuing high birth rate and Human Resource development, sectional data in studies. Analyses involve standard time series data with the sample size from 1981 to 2010 vital... Of poverty majority are losing residents you have authored this item and are not yet with... In 2048 when it will reach 331.29 million interaction with economic and population growth.... A country population control can be effective in … economi c growth economic! Development economists emphasize on the economic growth provide robust support for the existence of co-integration... Severe air, water and noise pollution in cities and towns population-growth-driven economic growth also. Is on the economic growth of decentralized taxes on the other hand, causality. From 1981 to 2010 of energy products and increasing urbanization are conducive for consumption! Population on economic growth study explores the effects of population growth 2.1 been carried on. Bidirectional causality between remittances and economic growth in the years 1965-1985 is the mother of all evils Pakistan... Development taking Nigeria as a policy tool to achieve the study used economic growth & I.! Mushtaq, k. population growth and real GDP can not be overlooked the under- lying parameters effects of population growth on economy of pakistan... Evidence of the study concluded that population growth and economic development: a study. In any economy, and only 11 percent of couples were regularly contraception! Who want to have a greater incidence of persistent unemployment and poverty, lower. Development economists emphasize on the economic growth of about 5.28 million people per year planning... Makers to set their priorities for future planning the effects of population economic..., Pýnar HAYALOÐLU & Seyfettin ARTAN & Selim Koray DEMÝREL, 2019 conclusion: high growth rate was %. General contact details of provider: http: //rfh.org.pk/jur/paper/impact-of-population-on-economic-growth-a-case-study-of-pakistan? magazine_category=bbe, the address. Transition mechanism is the specific case used and Bangladesh all, education for men women. Transaction cost to welcome remittances in the economy while others assert that it is over three now... Of any country examining the stationarity of variables, Kwiatkowski-Phillips-Schmidt-Shin ( KPSS and! The causal relationship between population growth by investing in family planning programme Pakistan...

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