Population Reports' Q&As

Meeting the Urban Challenge

Making Urban Areas Work

How can slower population growth encourage economic growth?

Slower population growth encourages economic growth, provided that governments institute sound social and economic policies (8, 73). Lower fertility in a country opens a "demographic window" of opportunity-a temporary period when a large group of working-age people supports relatively fewer older and younger dependents. This situation frees families and nations to save more and to make the longer-term investments that help lift people out of poverty. In order to reduce poverty, however, development efforts must be directed to helping the poor themselves, not only to stimulating aggregate economic growth (73, 143).

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