China Abandons One-Child Policy

Human rights advocates have long blasted China for its strict one-child policy. Confronting an aging population and slowing growth, China’s Communist Party is scrapping a policy crafted to ease poverty and allowing two children per family. “China is trying and complete its transition from a[n] investment-and-export-dependent developing nation to a ‘moderately prosperous society’ with an economy powered by services, consumers and innovation,” reports Bloomberg News. The news quickly lifted stock prices for foreign firms that produce baby formula and diapers. The policy could exacerbate China’s environmental problems and shape consumption, encouraging families with two children to seek more affordable products and services. One analyst suggests the move could increase China’s population by 8 million annually though previous attempts to loosen the one-child rule did not increase the birthrate as expected: The wealthy have fewer children; families with few or no children can save more. The government will continue to manage family planning. The five-year plan aims to boost social programs and environmental protections, reduce price controls and corruption, as well as focus on internet, big-data and infrastructure development. – YaleGlobal