Which demographic group tends to pay taxes and work regularly?

Study for the IB Geography Exam with flashcards, multiple choice questions, and explanations. Prepare for your success!

The economically active population refers to individuals who are of working age and actively engaged in economic activities, such as employment or self-employment. This group typically comprises individuals aged 15 to 64, although the specific age range can vary by country. Their primary contribution to society includes regular participation in the labor force, leading to income generation, which in turn results in tax contributions. As they work and earn income, they also contribute to social security systems and government revenues through various forms of taxation, including income tax and payroll tax.

In contrast, the other demographic groups mentioned do not regularly participate in the workforce. Old dependents, young dependents, and retired individuals rely on others for financial support and do not typically generate income through regular employment. Young dependents (such as children) are not yet of working age, while retired individuals have typically exited the workforce. Old dependents, which may include the elderly who are not able to work, also fall outside the economically active population. Thus, the economically active population is distinctly characterized by its ability and obligation to pay taxes and contribute to the economy through work.

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