What is the impact of Population on Environment and Economic Development?

The rapid growth of population has direct impact on the environment and economy. The effects of population on environment and economy are as given below:

Effect of Population on Environment


An increase in population tends increase in the demand for land, for shelter food, increased demand for energy which led to deforestation, cutting of forests.

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Shortage of Water supply:

An increase in population lead to increase the usage of water for various purposes, activities leading to its shortage.

Soil Erosion:

An increase in population would lead to deforestation which would cause soil erosion.


Water and Air Pollution:

An increased population would lead to more usage of materials and thus the amount of wastes also increases causing both air and water pollution. The industrial pollution by waste materials and the usage of vehicles lead to air pollution.

Effect of Population on Economic development:

Increases in population in a developing country like India definite prove to be a deterrent factor on its economic development. The following are the economic factors affected due to increased population.

Problem of increasing per capita and National Income:


An increase in population lowers the national and per capita income. Whatever additional income rises eaten up by the increasing population. There is growth of population in geometric rates where as production rises at arithmetic rates.

Problem of Increasing Food Supply:

We require food for existence. Fast growing population has led to food shortage.

Problem of Capital Formation:

Increases in population decrease the rate of capital formation. There is an increase of expenditure on consumption while the income remains constant. This result in the fall of rate saving and investment.

Large number of unproductive consumers:

Usually unproductive consumers include children and old age people. With an increase of unproductive consumers there would be a retardation of economic development.

Problem of Unemployment:

An increase in population means an increase in labor force. If this huge labor force cannot be employed in industrial sector it would lead to unemployment and under employment country.

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