Read the passage carefully and answer the questions that follow.
India's favourable demographic trends, which have increased the workforce's percentage of the overall population, have paved the way
for a significant middle-class expansion. A big population bulge emerging from absolute poverty and set to reach the middle class
would generate new dynamics. In India, over 55 per cent of the population is predicted to reach the middle class. In reality, because
India's demographics are significantly younger than China and the United States, the country's middle class might be the world's
largest (in terms of population) by 2025.
It is no exaggeration to argue that future growth will be reliant on the increasing middle class, and that the middle class's development
will be reliant on growth. Growth has been fuelled by both private consumption and saving, both of which are fuelled by the middle
class. India's private consumption accounts for over 60% of the country's GDP, while private consumption growth has contributed for
70% of the country's growth since 2000.
Despite the fact that China's middle class is now greater than India's, private spending in the former accounts for a lesser share of
growth. In contrast to the United States, where domestic savings are dropping and the country borrows excess funds from outside to
invest and expand, India's domestic savings and investments are increasing and funding investments.
The emergence of the middle class is anticipated to coincide with a transition away from large-scale informality, which now
characterises much of the services and industrial sectors, and toward more formal, wage-earning, and medium-scale firms.
Technological advancements will spread at a faster rate. Cities will expand as job possibilities concentrate on them. If there is enough
movement across states and from rural to urban regions, the population increase will be more evenly distributed.