Abstract
As a result of China's family planning policy of âraising population quality and controlling population sizeâ initiated in the late 1970s, China has accomplished a population transition from high birth rate, low mortality rate and high population growth to low birth rate, low mortality rate and low population growth within a remarkably short timeframe. Along with this population transition, however, comes a shift in population age structure, with a rapid increase in the proportion of elderly people. This paper explores the implications of China's demographic shift for labour supply and suggests policy changes to target an emerging labour shortage.
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