Part 8/11:
Despite government efforts to incentivize higher birth rates through tax breaks and campaigns, the initiatives have failed. Once known for its sizzling annual economic growth rates of 8–10%, forecasts suggest that China’s growth will dwindle to 4%–5% in the near future, potentially dropping below 4.2% by 2026.
Economic Indicators and Foreign Investment
Youth unemployment rates are surging, with figures reaching 20% in 2023, prompting the government to stop publishing these statistics to avoid highlighting the issue. Foreign direct investment (FDI) has also seen a significant downturn, evidenced by a 30% drop in early 2024 as multinational corporations seek opportunities in India, Vietnam, and Mexico instead of China.