Such a non-linear financial penalty scheme was introduced by different local governments in different years if at all , generating variations across regions and over time. Finally, to capture the general equilibrium effect, we also directly check whether the growth of per capita GDP across regions is linked to the local sex ratio imbalance and find that the answer is affirmative. That is, regions with a more skewed sex ratio are also places where new private firms are more likely to emerge. To see if the effect of the local sex ratio comes entirely from the local savings rate, we add log local bank savings balance per capita in as an additional control. Based on the two most recent censuses of firms, we estimate that an increase in the sex ratio by one standard deviation can account for about half of the extensive margin of the private sector growth i. As a result, roughly one out of every nine young men today has no realistic hope to get married, mathematically speaking. As a result, the share of non-Han Chinese in the total population has risen from 6. Interestingly, the coefficient on the sex ratio for each age cohort is smaller than the one for the combined age cohort The F statistics for the null that all slope parameters are jointly zeros ranges from As an alternative measure of the sex ratio, we use the average of the sex ratio for the age cohort in and the sex ratio for the age cohort of in inferred from the and the censuses, respectively. If there are more men than women, the least attractive men are not married. In an influential paper, Oster proposes that the prevalence of Hepatitis B is a significant cause of the sex ratio imbalance in Asia. In comparison, the likelihood for parents with a daughter to be entrepreneurs is uncorrelated with the local sex ratio. Where are domestic private firms most likely to emerge?