Demographic dividend is the accelerated economic growth that a country can achieve resulting from a shift in population age structure with the bulk of a young labor force population (Bloom and Williamson 1998; Bloom et al. 2003). It refers to a phenomenon that can occur alongside the demographic transition where a population experiences a mortality decline and a subsequent fertility decline. The lag between the mortality and fertility declines creates a population “bulge” at young working ages, causing a shift in the age structure that offers some opportunities for a faster economic growth.
Mortality decline among young people has resulted in a temporary youth bulge. Over time, this bulk of youth cohorts ages into working age, steadily increasing the share of economically productive population and reducing the dependency.
