The correct option is 2 and 3 only.
Explanation
The Demographic Transition Theory explains the relationship between demographic changes and socio-economic development. It predicts the transformation of population growth rates as a society evolves from a pre-industrial structure to a modern industrialized system.
Statement 1 is Incorrect: The theory describes the transition of a population from a stage of high birth rates and high death rates to a stage of low birth rates and low death rates. The statement provided in the question reverses this trajectory.
Statement 2 is Correct: The theory assumes that these demographic changes are driven by the progression of society from a rural, agrarian, and illiterate state to an urban, industrial, and literate society. This societal shift influences factors such as healthcare access, education, and family planning.
Statement 3 is Correct: The transition occurs in specific phases (typically categorized into three, four, or five stages), which are collectively known as the demographic cycle. These stages map the shift from stable high rates, through a period of population explosion, to stable low rates.
Key Takeaway: Demographic Transition Theory posits that population stability shifts from high fertility and mortality to low fertility and mortality as a direct result of economic development and modernization.