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1. Demographic Transition [8 points] (3) Construct a demographic transition plot for your country with the birth rate, death rate, and population level all on

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1. Demographic Transition [8 points] (3) Construct a demographic transition plot for your country with the birth rate, death rate, and population level all on the same graph over the period 19602010 (there may be missing data; connect points using straight line; put population on the right Y axis and birthfdeath rates on the left Y axis). Discuss (i) the historical patterns, and (ii) potential implications for economic growth in the next decade. (b) Now1 construct a graph showing the birth rate and the infant mortality rate. Describe the patterns and offer a potential explanation for the relationship. 2. Population and Fertility Choice 2.1. True or False? [4 points] State whether the statement is true or false, and briey explain why. (a) If country A has a population growth rate that is lower than country 3, then the average woman in country A has fewer children than her counterpart in country B. (b) Total population levels in a country should be lower at the end of a demographic transition than they were at the beginning. 2.2. This is a question onjoint families, externalities, and fertility choice. Suppose that Jose and Maria are the heads of a nuclear family, making their fertility decisions. For simplicity, suppose there is no gender bias and no infant or child mortality. The following table details the costs and benets (in dollars, say) of different numbers of children. [6 points] (a) Based on the information in the table, how many children would Jose and Maria have in order to maximize their net benet? # ofchildren Total benet (3?) Additional cost per additional child ($) One 500 100

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