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GS115 marks · 250 words

What do you understand by the term 'Demographic Dividend'? Highlighting the challenges the country faces in realising the potential of it's favourable demography, suggest corrective measures.

Summary

Thin definition, no dependency-ratio mechanism, misses female LFPR and regional disparity; corrective measures are generic and lack specificity.

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Needs work: Demographic dividend refers to the working human capital a nation has as part of its population. Citizen between ages 15-65 are considered part of Demographic dividend.

Status of Demographic Dividend in Indi:

Needs work: ① Current population ~140 Billion
Needs work: ↳ ~ 60% population in working age
Needs work: ↳ expected to peak by 2050.

Keep: Challenges country faces in realising potential:

Needs work: ① Lack of productive employment opportunities — current unemployment rate ~ 5.5%

Needs work: ② Without well paying job – LFPR is low. ~ 70% in case of India vs >80% in China.Add here

Needs work: ③ Skilling issues: Skills of employable population are not sufficient.

Needs work: ④ Nature of education: Degrees are not converting into jobs due to lack of emphasis on practical learning.

Needs work: ⑤ Lack of/low industry academia interaction:
Needs work: ↳ Only tier 1 colleges like IITs, IIMs have descent collaborations.

Needs work: ⑥ Focus on service based economy – requires highly skilled workforce.

Needs work: ⑦ Higher percentage of contribution of Agriculture to economy — employs 50% workforce and contributes 18% to GVA.

Corrective measures to realise potential of India's Demographic dividend:

Needs work: ① Emphasise Skilling, Reskilling, Upskilling

② Change curriculum to incorporate experiential practice based learning
Keep: ↳ NEP 2020 envisages the same.

Keep: ③ Improve industry - academia collaboration to understand industry needs better

Needs work: ④ Reverse manufacturing capacity through various policy changes — absorbs workforce.

Needs work: ⑤ Provide productive employment opportunities

Needs work: ⑥ Incorporate AI, ML, Big data in policy formulation for skilling.

Way forward hereNeeds work: It is important to realise the full potential of India's demographic dividend to realise Vision Amrit Kal 2047.

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