The Demographic Transition:

The concept of demographic transition (population dynamics) got its origin from the essay paper of Malthus on the Principle of Population. Thomas Malthus, the English clergyman, believed that human population is growing geometrically; whereas, the production (food production) is increasing arithmetically. Thus the population growth will always surpass the food production. And when the population surpasses production, the checks (intervening forces) will operate to bring the population balance with the production (food).

Demographic transition is governed by two natural factors – fertility and mortality; however, if the advancement of technology (technology revolution) is put in consideration, than the real wage (income level) is also play an important role. Smith added another factor of division of labor as the factor operating together with the real wage at an equilibrium state, when the population increases with the increase of wage. The fertility and mortality factors of demographic transition are the results of positive and preventive checks respectively. The checks which work to maintain the equilibrium state between population and production.