Why More Children Are Bad for China’s Growth

The imminent end of China’s one-child policy is welcome and long overdue, but in the short-run, the impact on growth would be somewhere between zero and negative, according to Bloomberg Economics. Arguing for zero impact -- the one-child policy is no longer the binding constraint on fertility. That honor now goes to the pressures of modern life: stressful jobs and expensive housing aren’t going away. Arguing for negative impact -- if families do choose to have more children, that will take more workers out of the labor market as young parents exit to focus on childcare.

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