Free Essay

Aging Problem in China

In:

Submitted By lu0119
Words 581
Pages 3
Population aging problem in China
The current situation of aging problem in China is serious, and will become severer in the future.
“China is rapidly getting older. Three decades ago, only 5 percent of population was over 65; today, 123 million people, or 9 percent of population, are over this age. A report released by a government think tank forecasts that China will become the world’s most aged society in 2030. Further, by 2050 China’s older population will likely swell to 330 million, or a quarter of its total population.”(Yanzhou Huang)
Three main reasons speed up the aging problem. Based on higher life quality, people have longer average life expectancy. Second, the baby boomers start getting old. Also, China has one child policy that controls the population (Yanzhou Huang)
The aging problem brings the primary challenge to China, but also an opportunity to develop some new industry.
First of all, it is influence China’s international competitiveness. “It leads to a drop in the proportion of the productive labor force, which in turn raises the average wage level, making China less competitive in labor-intensive industries. In years past, China was able to rely on almost unlimited low-cost labor in achieving its double-digit economic growth. However, if China is approaching its Lewis turning point, a point at which China would move from a vast supply of low-cost workers to a labor shortage economy, it could quickly lose its competitive edge to other emerging economies that still enjoy significant demographic dividends.”(Yanzhou Huang)
“According to an OECD report, China will be surpassed by both India and Indonesia in terms of economic growth rate after 2020”
Second, China’s workforce shrank in 2012 for the first time in decades (Charles Riley). And this phenomenon trends to continue. Some cities of China begin to implement to one child policy more flexibly. Qinwei Wang, analyst of Capital Economics, claimed that the influence of one child policy change would be small. Because many people who live in the city are not eager to have more child. On the other hand, “even the birth rates were to increase, it would take 15 or more years for new generation to enter the labor force.” (Charles Riley)
“Large numbers of the elderly are living before the poverty line and suffering from physical problems or depression. With millions more Chinese scheduled to leave the workforce in the near future, social services could become even more strained as the still-developing country seeks to reform its economy.” (Charles Riley)
China is a developing country in low GDP with serious aging problem. Pensions, health care, and social security systems are still underdevelopment. The expenditure of pensions, basic medical care insurance, and public health has increase rapidly.
China's aging population and the deteriorating natural environment will constrain economic growth, Ma Jiantang, head of the National Bureau of Statistics said Saturday.
“China's "demographic dividend" has decreased as the population is aging fast, and environmental problems will continue. Both factors will hamper the country's economic growth, Ma said at the China Development Forum held in Beijing.” (China daily)

This figure shows that the expenditure of public health spend by government, society, and individual in RMB.

The total expenditure increases significantly from 2000 to 2011.
“It seems that there is a large potential of insurance system to have real function, aging of the population was one of the major reasons for the rapid increase of the expenditure of the medical insurance.”(Lu Hong)

Similar Documents

Free Essay

Two-Child Policy in China

...Proponents 4 Opponents 5 Advocate for the two-child policy. 6 Promoting consumption 6 Solving population aging problems 7 Balancing skewed sex ratio 7 Boosting the real estate 8 References 9 Introduction China has resolved to put an end to the three-decade-long one-child policy and each couple are allowed to have two children. Shortly after the announcement of the two-child policy, the article in appendix was written by a professor at Shanghai Academy in China Daily to advocate for the policy. And the target persons are citizens in China who meet the two-child policy requirement. The author used specific statistics to elaborate the population aging problems in current society (Logos). He demonstrated objectively that the two-child policy will benefit China both in the short run and long run and explained the benefits from improving demographic structure problems, boosting development of the service sector, strengthening domestic consumption and increasing innovation (Qu, 2015). The article was published at the right time when the two-child policy has been hotly debated. It would attract attraction of people who focused on this topic. And the author suggested the authorities put the two-child policy into force with assistance of more supportive policies as soon as possible (Kairos). At the beginning of the establishment of the People’s Republic of China, the population boom, regarded as a strong basis of economic growth, was encouraged by leaders. They believed...

Words: 1907 - Pages: 8

Premium Essay

Aging Around the World (Communications Final Paper )

...Executive Summary Europe: The aging trend in Europe is in most place they are growing older. According to the European Commission (2012) “while the population of Europe will be slightly higher in 2060 (517 million, up from 502 million in 2010), the population will be much older. While longer lives are indeed a great achievement the aging of the population also poses significant challenges for the economies”. The share of those aged 15-64 is projected to decline from 67% to 56% while those aged 65 and over is projected to rise from 17% to 30%. This will cause Europe to go from have four people of working age to each aged over 65 to a mere two people of working age (European Commission, 2012). ● “The total number of workers is projected to decline by 15.7 million over the forecast horizon to 195.6 million in 2060. ● The decline in the workforce will act as a drag on growth and per capita income, with a consequent trend decline in potential growth. The latter is estimated to converge to below 1,5% in real terms in the long-term in the EU. Moreover, the demographic changes are expected to have substantial consequences on public finances in the EU. ● On the basis of current policies, age-related public expenditures (pensions, health-care and long-term care) are projected to increase by 4.1 percentage points to around to around 29% of GDP between 2010 and 2060”. The economics of depopulation are dark. At full employment, the real GDP has a good chance of declining...

Words: 4766 - Pages: 20

Premium Essay

One Child Policy

...Geog 2110 Regional Geography of China Yu Lee Lee 12017973 04-04-2014 Whether China should abolish the one-child policy has been a controversial issue in the society. According to “The effect of China’s one-child family policy after 25 years” (2005), due to the economic stagnation, the limited resources, the baby boomers in 1950s, the Chinese government introduced one-child policy in 1979 for the sake of promoting economic reform, improving the living standard and achieving small-size family in the long term. In the perspective of population growth, the writers believed that the policy itself is only partially responsible for the reduction in the total fertility rate. Instead, the voluntary “late, long, few” policy between 1970 and 1979 caused the most dramatic decrease in the total fertility rate. While the total fertility rate only had a gradual fall and stabilized at 1.7 since 1995 after the one-child policy was introduced. The article also suggested that one-child policy is just a contributory factor for the high sex ratio in China. Most importantly, the authors believed that the traditional preferences for males, sex-selective abortion and non-registration of female are the factors accounting for the high sex ratio. Unless there is a change in attitude toward female offspring, the sex ratio will remain high. What’s more, the article also suggested that the rapid decrease in birth rate and the improving life expectancy has led to an increase ration in old-age dependency...

Words: 1077 - Pages: 5

Free Essay

Population

...Hi Darryl, Would you please review our debate statement? Opening statement: We believe that China should give up the one-child policy. The disadvantages of China’s one child policy are many. It has caused appalling human rights abuses in China, including forcible abortions and sterilizations. Since the policy went into effect, China has had a significant gender imbalance, an abnormal sex ratio. China’s rapidly aging population—combined with lower fertility rates—is expected to present significant social and economic challenges. It also brings other problems, for example, the "four-two-one" problem and unequal enforcement. Argument 0: One-child policy benefits exaggerated The government states that 400 million births were prevented by the one-child policy until 2011; this claim is disputed as official propaganda by Wang Feng, director of the Brookings-Tsinghua Center for Public Policy, and Cai Yong from the Carolina Population Center at University of North Carolina Chapel Hill, who put the number of prevented births from 1979 to 2009 at around 100 or 200 million. Argument 1: Low fertility rate can’t maintain the sustainable development of society. According to the sixth census population, currently one couple only has 1.2 children on average. In cities, the number is less than 0.9. Even for people from countryside, it is 1.5. Under ideal mathematic model, the fertility rate should be 2.1. The 1.2 fertility rate means the number of population decrease 40% every generation...

Words: 1053 - Pages: 5

Free Essay

China's Birth Control Policy

...Jiangwei Wang Dr. Werner WRT 110 10 May 2014 China Open Up Birth Control Policy Recently years, China’s government has recognized some disadvantages that the One-child Policy resulted, so the government decided to implement a new policy. The one-child Birth Control Policy was established to limit communist China’s population growth. There are both some advantages and disadvantages between China’s old birth control policy and China’s new birth control policy. But generally, it is obvious that the new China birth control policy is adjusted more to modern society than the old China’s birth control policy. The old policy caused some social problems. It restricted economic development. And the new policy could solve some social problems which the One-child Birth Control Policy caused. The One-child Birth Control Policy caused some social problems like sex ratio imbalance and abortion. Both the new policy and the old policy have great effects on population. The One-child Birth Control Policy stipulates people that one parent can only have one child. After the Second World War, China had a population explosion which caused social problems such like food shortage and famine. To resolve this situation, China’s government decided to establish a policy to limit the population growth which is China’s birth control policy. China successfully controlled its population growth after they stipulate that policy. In 2013, the China’s government decided to implement a new birth control...

Words: 715 - Pages: 3

Premium Essay

The Economic Impact of the One-Child Policy in China

...The Economic Impact of the One-Child Policy in China John F. Rodis EMBA International Economics Professor Jim Stodder October 15, 2014 The Economic Impact of the Single-Child Policy in China Thesis Statement: The single-child policy implemented in China more than thirty years ago to slow the rate of population growth, not only had a marginal effect on the growth of the population, but also had the unintended consequence of a long-lasting negative impact on the Chinese economy. Abstract: The Chinese government imposed a single-child policy 34 years ago in response to a rapidly increasing population that was determined to be unsustainable. Last November, the government ended the policy. A careful review of the literature regarding the efficacy of the policy as well as examination of other factors that could have affected population growth was conducted. The result of this review confirmed that the policy—in and of itself--had only a marginal impact on the growth of the Chinese population. However, the policy resulted in a significant change in the demographics of the Chinese population, with the result of China having a significantly older population than many developed nations, but one that aged at a much faster rate. However, unlike these developed nations, neither the Chinese people nor their government is adequately prepared for this rapidly aged population. As a consequence, there will be significant long-lasting negative consequences on the Chinese economy,...

Words: 3480 - Pages: 14

Free Essay

Demographics

...(Dvorsky) By the midpoint of the century, more than a quarter of the Chinese population will be over 65. And it will be at this point in time (if not sooner) that young adults will face an unprecedented burden of care — what's been dubbed the 4-2-1 problem. China already has the world’s largest elderly population and it is expected to increase. Elderly people aged 60 and above will grow by 100 million in just 15 years (from 200m in 2015 to 300 by 2030). This argument in the increase of elderly people will lead to an increasing demand for services and expenditures related to health care, the cost of which will fall upon China’s only children. The one-child policy has created a situation in China in which there are too few young people to support a growing, aging population. This scheme basically stipulates that a child would bear the responsibility of providing to his/her grandparents (usually 4) parents as they cannot rely on siblings or other family members during their old age, himself and on top of that, his future family. Even with high savings rates, it seems unlikely that the younger generation will be able or willing to afford such a burden. So most elderly Chinese will be obliged to rely heavily on social-security pensions. China set up a national pensions fund in 2000, but only about 365m people have a formal pension. And the system is in crisis. The country's unfunded pension liability is roughly 150% of GDP. Almost half the (separate) pension funds run by provinces...

Words: 732 - Pages: 3

Premium Essay

China's Demographics and Their Impact on Its Economy

...First name, last name: Professor/tutor: Course title: Date of submission: Economic Impact of China’s Demographics Introduction Policies regarding population development are a major factor towards determining China’s future economic prospects. China is the most populous country in the world, doubling its population over the last 60 years (Lee & Qingjun 58). For the rapid population growth that China has achieved over the last few decades, controlling and monitoring the growth of the population has been at the core of the country’s administration. Policies have to be implemented that actively seek to implement demographic recommendations and stipulations with the aim of developing a sustainable population base compatible with the economy. Institution of population control legislation such as the one-child policy has effectively controlled the mushrooming population growth that distinguished China from the other world demographics. The result of the population control policy in the face of reduced death rates and low fertility rates has painted a grim picture for the Chinese economy. The result of the envisaged scenario is an increase of the number of old people in the country and a continual decline in the number of young people. This paper focuses on highlighting the potential challenges the country faces from having a reduced young workforce in an economy growing at a phenomenal rate. Due to the overhanging specter of an unsustainable population in the country with unchecked...

Words: 2419 - Pages: 10

Free Essay

One Child Policy

...Altynay Sydykova ID#20100569 Topic: China one child policy Introduction Thesis statement: One child policy in China lead to a gender imbalance and rapidly aging society could present significant problems, however we can not deny the fact that the world's population which is already too high would be phenomenal at this point. Thesis statement: One child policy had crashing effects on the Chinese society. However we can’t argue with the fact that the number of population will increase till impossibility without restriction of law, which have further influence to the country conditions. I. Main idea (topic sentence 1). The significant problem that appeared because of the wrong compulsion of the one-child-policy is the gender imbalance. Supporting idea A. Asian countries, including China has long traditions of son preference. B. Because of the law restriction and traditional values sex- selective abortion and female infanticide is encouraged. II. Ad interim when a culture does not have enough young generation to replace the aging members they will sooner or later run out of young workers. Supporting idea A. According to the researches by 2050, there could be two working people for every old person, compared with 13 to one now. B. Necessity of young people to strength to maintain their industries. III. Keeps of growing population destroy their economy and future in general. A. Without restriction...

Words: 259 - Pages: 2

Premium Essay

The Modest Proposal

...A Modest Proposal: Solving the problem of aging population Jenny Xue Section 1 Nowadays, the aging of the population has been made seriously all over the world. It is a major issue for China, too. To be specific, aging population is the fact which the elder people are too much in the society. Due to the Chinese government published the One-Child policy 30 years ago, the suddenly decreasing birth rate indirectly leads to the increasing of the elders. This problem brings the result that the decreasing number of young people are working and paying tax to deal with the increasing number of old people. As a consequence, in my opinion, people should kill all elders who are over 70 years old and the government should give the families which kill the elder people some money as payback. This method can solve the problem and benefit the society efficiently. First of all, kill the elders is the most direct way to control the number of old people in the society. The method Chinese government is now using which is stopping the One-Child Policy from now on which will have an inevitable time delay. The disadvantages will not appear until many years later just like the One-Child policy did not have such serious effect in China until 30 years after it was published. Accordingly, kill the elders can solve the problem in a quick and efficient way. Another reason is that older people not only cannot be used as labors but the government...

Words: 532 - Pages: 3

Free Essay

Asdfdsa

...Asia Physical geography Topography – where is the Tibetan Plateau, how did it form, why is Japan mountainous and why does it have numerous earthquakes and volcanoes? Tibetan plateau in western china, highest in the world, created by collision of Indian and Asian tectonic plates. Collision of Eurasian plate and pacific plate, and Philippine plate collide between oceanic and continental plate. On the leading edge of the Eurasian plate Climate – what kind of climate characterizes this region, which ends of China are drier/wetter, warmer/colder? Temperate country like the US. Much wetter on the east, western like deserts. Colder in the north, hotter in the south. South more rain(subtropical) Forests – how much of this region has been deforested and why is this the case, where are the remaining forests? Eastern China deforested for farming. Remaining forests- Scattered all over Deserts – where are China’s deserts located and why are they there? Dryer desserts in the west, mostly grasslands. Taklamakan desert. Gobi desert Rivers – what are China’s two main rivers, what have they been used for in the past, what problems do they create, what is the Three Gorges Dam and what it is supposed to do? Yellow, Yangtea . Past used for transportation and irrigation. Problems, Floods ruin population on the banks of river. Grand Canal from north to south (bejing to Hangzhou). Three gorges dam, world’s largest dam for flood control and provide electricity. Northern Chinese...

Words: 956 - Pages: 4

Premium Essay

Gendercide in China

...When one thinks of China it is common to conjure up images of rice fields and of the great wall, but also of crowded cities teeming with people and bicycles and cars. One rarely thinks of a nation populated mostly by men and boys, with a noticeable yet surreal absence of women. While this is a bit of an exaggeration, it has been noted over the past several decades that there is an alarmingly imbalanced sex-ratio. The policy has clearly contributed to the nation’s unnatural gender imbalance, as couples use legal and illegal means to ensure that their only child is a son. There are 117 men to each 100 women in China (Goodkind, 2004). In the 1979, when the one-child policy was enacted, the intention was not to create this imbalance, but to control the population of a rapidly growing nation. Unfortunately the one-child policy as it stands, illustrates a cultural favoritism toward males, and degradation of women to a lower social status in which they have little control of their reproductive rights. In communist China, prior to the population boom, more people meant more manpower to create more economic prospects for the communist nation. The communist government condemned birth control and banned imports of contraceptives (Attane, 2002). Lack of birth control, and government encouragement led China into a time of vast population increase. Hundreds of millions of extra children were born in a baby boom that sent the birth rate soaring to 5.8 children per couple, a level considered...

Words: 2958 - Pages: 12

Free Essay

Corporate Competitive Strategy Analysis

...wAnalysis external environment for fast-food industry Presume that China is the potential market for a new fast-food enterprise to open, I would like to analyze relative conditions related to the extension of the market. General macroeconomic conditions In 2014, the economic conditions in China is enthusiastic. According to the data from National Bureau of Statistics of China, Total Retail Sales of Consumer Goods in January and February have experienced a generally increase, going up by 11.8%. Compared with the increasing pace in 2013, it was slowed down in the first two month in 2014. This may means the motivations for consuming in 2014 would be weaker. At the same time, the consumptions in restaurant also decreased by 0.5%, which may be a detrimental signal for restaurant industry. While it is possible that this phenomenon is triggered by the pledge of consumptions in luxury restaurant instead of fast-food industry. If this hypothesis is correct, the food consumption in fast-food restaurants may go up as the industry is actually an alternative to be a substitute for this high monetary required cuisines. Population demographics China, generally speaking, is the country owning the largest population which represents 19.30% of global population at 1,384,694,199. Also, China is one of the country with high population density at 139.6 people per square kilometer and almost 70% of people will live in urban area by 2035. The large population base guarantees adequate passengers...

Words: 853 - Pages: 4

Free Essay

One-Child Policy in China

...Fancheng Wang Professor Steven Cassedy MMW 22 A10 March 16, 2012 One-child Policy in China China’s one-child policy, one of the most controversial policies, has been intensely changing China’s social structure since 1979. This policy worked as a milestone on controlling the mass amount of population and had a profound impact on all aspects of Chinese’s life. Apparently, it decelerates the growth rate of population; otherwise, there could be 23 million newborns in China annually (Shanor 53). To some extent, this policy relieves a comparative land shortage under the mass population in the countryside (Davin 65). In addition, it raises the average level of education and health care in the city because parents are likely to put more effort into taking care of the only child in the household (Kane 109). Despite its marvelous success in both the city and countryside, some scholars are concerned with the side effects tied to this policy, such as “little emperors”, labor force shortage and an aging society, which will only escalate in the future (Shanor 54). Although this policy impact on people's lives are good or bad cannot draw a conclusion, but through some social problems, it is not hard to foresee the future of this policy having negative influence on the only-child’s different stages of age. Since the first generation of children under this policy have already reached their thirties and have become part of the mainstream society, these side effects have gradually impacted...

Words: 3548 - Pages: 15

Premium Essay

Psychosocial Aspects of Aging

...Chelsea McKoy Psychosocial Aspects of Aging PM 738 Long Island University Table of Contents Introduction 3 Background 4 Cultural Background 5 Health Status 6 Community Programs and Resources 7 Psychosocial Well Being 8 Conclusion 9 References 10 Introduction Since the beginning of the 20th century, life expectancy has increased in the developed world more than in all of recorded history prior to 1900. The elderly population in the United States is growing. Today, over 35 million persons are 65 years of age or older, accounting for about 13 percent of the population. According to the Administration on Aging (AOA) (2014) in the year 2030, their numbers will more than double resulting in one in every five Americans being over 65. As scientists and doctors find new ways to cure illnesses, more people are living longer lives. In fact, the fastest-growing age group in the U.S. is the 85 years and older group. This group now represents about 40 percent of the elderly population (AOA, 2014). The process of aging for elders 65 years and older often involves a number of progressive physiological changes. Within the context of these changes, and often related to them, prominent issues of psychological and social adjustment emerge. Such issues include coping with declines in physical and functional abilities, changing social relationships and roles, and dealing...

Words: 2252 - Pages: 10