what affects the dependency ratio 
age is the primary factor that affects the dependency ratio as that determines who is and is not included in the workforce 1 the demographics of a nation however are affected by a variety of factors such as birth rates immigration policies and other government policies such as china s previous one child policy if a country can attract foreign workers it will help grow the workforce similarly if the birth rate is high then there will be enough individuals to replace the portion of the workforce that retires these factors would help lower the dependency ratio the bottom linethe dependency ratio is a demographic indicator that measures the number of dependents aged zero to 14 and over the age of 65 compared with the total population aged 15 to 64 it is analyzed to determine the people of working age versus those of non working age which aids in understanding taxation which in turn impacts the government s revenue and therefore various aspects of the nation a lower dependency ratio is ideal as it signifies less of a burden on the workforce in supporting those who are not working 