The demographic dividend, which has begun in India and is expected to last another few decades, is a great window of opportunity. The demographic dividend is basically a swelling in the working age population, which conversely means that the relative ratio of very young and very old will, for a while, be on the decline. From the experience of Ireland and China, we know that this can be a source of energy and an engine of economic growth. The demographic dividend tends to raise a nation's savings rate since in any nation, it is the working age population that is the main saver. And since the savings rate is an important driver of growth, this should help elevate our growth rate. However, the benefits of demographic dividend depend on the quality of the working age population. And this implies bringing back the importance of education, acquisition of skills and human capital. Which of the following would invariably happen in a country, when the demographic dividend has begun to operate? 1. The number of illiterate people will decrease. 2. The ratio of very old and very young will decrease for a while. 3. Population growth rate will quickly stabilize. Select the correct answer using the code given below

The demographic dividend refers to a period when the proportion of the working-age population is higher than the dependent population (very young and very old). Let's analyze each statement: 1. The number of illiterate people will decrease. While the demographic dividend presents an opportunity for a country to invest in education and human capital, it does not *invariably* lead to a decrease in the *number* of illiterate people. The passage states that the benefits *depend* on the quality of the working-age population, implying that efforts are *needed* to improve education, not that it automatically happens. A country might fail to capitalize on this opportunity, or the overall population growth might still be high enough that the absolute number of illiterate people doesn't decrease. 2. The ratio of very old and very young will decrease for a while. The passage explicitly states: "The demographic dividend is basically a swelling in the working age population, which conversely means that the relative ratio of very young and very old will, for a while, be on the decline." This is a direct definition and an invariable characteristic of the demographic dividend. 3. Population growth rate will quickly stabilize. The demographic dividend is a phase characterized by changes in the age structure, primarily due to declining birth rates and low death rates. While declining birth rates contribute to this, it does not mean the overall *population growth rate* will *quickly stabilize*. The population might still be growing, albeit at a slower rate, and stabilization or decline typically occurs later in the demographic transition. The dividend is about the *proportion* of working-age people, not the immediate stabilization of total population growth. Therefore, only statement 2 is an invariable consequence when the demographic dividend begins to operate. The final answer is B