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n 1978 China introduced its "one child" policy to limit population growth. Due to selectice abortions, this has led to an enormous increase in the male/female sex ratio at birth. Whereas the ratio of males to females is normally 101/100, in China it is as high as 120/100.
a) What would this new sex ratio do to the bargaining power of women in the marriage market?
b) It has become part of Chinese modern folklore that for a male to marry in China, it is important for the male to own a home first. If this is true, would it be consistent with your answer in (a)? Briefly explain.
c) In August of 2011 the Chinese government passed a series of new marriage laws. One of them stated that upon divorce the ownership of the home goes to the person who paid for it. The home is not considered marital property to be divided. Given your answer to (b), what type of problem was probably developing in the marriage market, and how would this law prevent it?
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