Addressing Demographic Challenges: Strategies for Sustainable Economic Growth in Pakistan

Abstract

This study examines the relationship between population growth and economic growth in Pakistan, acknowledging the challenges posed by rapid population increases. Utilizing statistical techniques such as the Augmented Dickey-Fuller (ADF) unit root test, cointegration analysis, and Auto-regressive Distributed Lag (ARDL) models, the research investigates the impact of demographic trends on economic indicators. Economic growth serves as the dependent variable, while independent variables include population growth, investment levels, fertility rates, employment rates, and education expenditure. The findings reveal a negative correlation between population growth and economic growth in Pakistan. The expanding population is identified as a major factor contributing to socioeconomic challenges such as rising unemployment and increasing pressure on resources. These challenges hinder sustainable economic progress and exacerbate existing structural issues within the economy. In response to these findings, the study recommends the implementation of targeted awareness programs to promote population control measures. Additionally, it urges the Government of Pakistan to adopt proactive policies to address the adverse effects of overpopulation. Strategic interventions, including investment in education, healthcare, and family planning services, are essential to managing demographic growth effectively. By addressing population-related challenges through informed policies and awareness initiatives, Pakistan can foster a more balanced economic trajectory. Sustainable population management strategies will help alleviate pressure on resources, improve living standards, and support long-term economic development. The study highlights the critical need for integrating population control efforts with broader economic planning to ensure stable and inclusive growth.