China introduced the one-child policy at the end of 1970s to decrease the rate of population growth. The policy controls the population effectively, but it has several side effects.
Ageing of population is the most serious problem caused by the single child policy. As older people die, there are not enough young ones replace them. As the elderly are the majority age group in the society, Chinese government has to spend a lot to taking care of the old people. Also there are not enough young people to join the army.
The second child policy can also have positive effect on economy. Parents will purchase more baby products, as the demand go up, there could be more company produce baby products. So, there will be competition in this market, customers can get high-quality products with a reasonable price.
This decision can also reflect that the Chinese government has become more humanized than before. It is people’s right to decide how many child they want to have.
The government have to think what they have to do if the rate of population growth increased a lot after the second child policy has been introduced.