A high working-age population and a lower dependent population can indicate which situation?

Correct answer: Potential demographic advantage

When the working-age share is large and the shares of children and elderly people are relatively small, fewer dependants have to be supported by each working person. This situation can create a demographic dividend or potential demographic advantage. More adults may be available for employment, production, saving, taxation, and investment in development.

However, the advantage is only potential, not automatic. It becomes useful when the country provides education, skills, healthcare, productive jobs, gender equality, and suitable economic policies. Without these conditions, a large working-age group may face unemployment or insecure work. Still, among the given choices, option A is correct because the described age structure can indicate a potential demographic advantage.