India’s Demographic Transition: Boon or Bane? A State-Level Perspective

Utsav Kumar
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Utsav Kumar: The Conference Board

No 10-03, Economics Program Working Papers from The Conference Board, Economics Program

Abstract: Age structure and its dynamics are critical in understanding the impact of population growth on a country’s growth prospects. Using state-level data from India, I show that the pace of demographic transition varies across states, and that these differences are likely to be exacerbated over the period 2011-2026. I show that the so-called BIMARU states (Bihar, Madhya Pradesh, Rajasthan, and Uttar Pradesh) are likely to see a continuing increase in the share of the working-age population in total population. The BIMARU states are expected to contribute 58% of the increase in India’s working-age population. The BIMARU states have traditionally been the slow-growing states and have performed poorly on different accounts of social and physical infrastructure. Whether India can turn demographic dividend into a boon or whether the dividend will become a bane will critically depend on the ability of the BIMARU states to exploit the bulge in the working-age population.

Pages: 29
Date: 2010-09
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Citations: View citations in EconPapers (5)

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