Biological control is one of the methods available for control of Aedes aegypti populations. We used experimental microcosms to evaluate the effects of actual predation and predation risk by dragonfly larvae (Odonata) on larval development, adult longevity, and adult size of Ae. aegypti. We used six treatments: control, removal, variable density cues (Cues VD), fixed density cues (Cues FD), variable density predator (Predator VD), and fixed density predator (Predator FD) (n = 5 each). Predator treatments received one dragonfly larva. Cue treatments were composed of crushed Ae. aegypti larvae released into the microcosm. For the FD treatments, we maintained a larval density of 200 individuals. The average mortality of Ae. aegypti larvae in the Predator VD treatment was used as the standard mortality for the other treatments. Mosquitoes from the Predator VD and Cues VD treatments developed faster, and adults were larger and had greater longevity compared to all other treatments, likely due to the higher food availability from larval density reduction. High larval density negatively affected larval developmental time, adult size, and longevity. Males were less sensitive to density-dependent effects. Results from this study suggest that the presence of predators may lead to the emergence of adult mosquitoes with greater fitness, causing an overall positive effect on Ae. aegypti population growth rates.