• The world population has crossed 7 billion mark and India’s population has reached 1.25 billion. It becomes the duty of the government of each nation to see that its population gets all the basic necessities and that the country’s economy grows.
• How a country’s resources will be utilized depends largely on its population.
• Over and above other factors the size and structure of population plays a major role in deciding the direction and volume of a country’s economy. For this, the country’s natural resources are most important because only with the help of natural resources, economic development becomes possible.

There are two aspects between population and natural resources. 

1. As population increases, the limited natural resources deplete fast and in the long run it becomes dangerous for the future generations.
2. When unskilled population rises, the natural resources will not be utilized in the best possible manner which proves to be a barrier for the economic development of a country.

As a result, tho study of population in an economy is extremely important because most of the problems in an economy are due to the high level of population.