Population Growth and Human Capital

The relationship of population growth and human capital can be both optimistic and pessimistic. Optimistically, it can be said that population growth in a given area would mean more human capital, provided that such human capital is productive. In other words, the growing population should add up to the labor force. The challenge therefore is how to ensure that the growing population effectively contributes to the development of a certain area, or of the nation as a whole. Said challenge can be addressed primarily with efforts and investments geared toward quality health and nutrition, as well as education and other essential services.

Pessimistically, failure of the government or the public at large to address such challenge would entail problems of unemployment and declining quality of human resources. Without corresponding inputs or investments to make the growing population economically independent and productive, the result would be a weak human capital, mainly affecting individual and nationwide economic status.