Question

Which of the following explains why demographics are important to the country's government?

Answer 1

Answer:

Right choice:

The government uses population predictions to determine social services.

Explanation:

Demographic studies and projections are important in policy making. It helps governments plan their future social, economic and educational strategies. A healthy, normal birth rate is necessary for a sustained economic growth. When the birth rate is too low, the percentage of old people will increase in the future, while the percentage of  children and young people decreases. This means economic problems in the future: more aging and senior population means increasing healthcare and special services spending; on the other side,  low birth rates mean that the future base of taxpayers and labor force will be reduced.