OPTIMUM POPULATION THEORY

2017 NOV III
Q. Optimum population will be at a point where :
(1) National income is maximum
(2) Per capita income is maximum
(3) Population is maximum
(4) Per capita consumption is maximum

ANSWER: (B) The optimum level of population can be defined as a condition where individuals are getting highest possible per capita income, considering the available resources and given level of technology. The theory was initially popularized by Edwin Cannon in 1924. Other economists associated with the theory are Marshall, Robbins, Dalton, Gini, Sidgwick, Carr-Saunders.
FEATURES OF OPTIMUM POPULATION:
i. The population is neither too small nor too large. It is balanced between over population and under population.
ii. The level of optimum population differs from country to country and from time to time.
iii. At a given level of technology, it balances population with available resources
iv. Optimum population is a dynamic population that changes with the changing quantity and quality of a country’s available resources.
v. An optimum population ensures or secures a maximum return per head.
vi. An optimum population is the population that produces full employment.
vii. The management or control of economy that has optimum population is very easy.
Optimum population also ensures the highest standard of living in a country.