China's Video Games Lure Children to Spend Money: Phenomenon and Regulatory Measures

 

Photo: Jonathan Wong

Introduction

Children across the globe are engrossed in virtual worlds, but in China, this infatuation often comes with a hefty price tag. Our journey today takes us deep into the intriguing world of video gaming, its impact on young minds and pockets, and China’s vigilant response.

Source from CNNICSina

The phenomenon of Children Spending Money on Video Games in China

As our investigation peels away the layers of digital mystique, we find Chinese youth captivated, navigating through animated worlds filled with thrilling escapades. However, a concerning trend has emerged: powered by addictive gaming mechanics, societal pressures, and clever marketing tactics, children invest considerable sums of money into these digital domains. Our exploration delves further into this digital age phenomenon’s financial and psychological implications.

Source from Tencent Pay, Taobao

Massive Amount of Spending on Video Games

Underage online spending is surging in China, with alarming instances such as an 11-year-old spending 400,000 yuan (US$56,871) on games and streaming tips and a 10-year-old tipping a game streamer 100,000 yuan (US$14,217). A 12-year-old also spent 110,000 yuan (US$15,640) on skins, while another spent 34,306 yuan (US$4,878) on a gaming platform, equating to his parent’s yearly savings. In Xiji County, a child unknowingly spent over 17,000 yuan (US$2,417) on mobile games.

As shown in the “Report of a sample survey on the consumption views of minors in Zhejiang”, minors use their pocket money for shopping on online e-commerce platforms; 37.59% use it to top up online games; 26.91% also have the habit of spending virtual money, etc.

Why are Minors Keen on Games, even Spending all their Pocket Money?

“King of Glory” immerses players in competitive battles, supplemented with different game modes like levelling up, adventuring, and ranking. Players can obtain skins and skills through in-game purchases, enhancing their competitiveness and chances of victory. The sense of accomplishment intensifies as they accumulate wins and ascend in overall rankings. The game’s social platform displays real-time orders, thus catering to the youthful player’s need for recognition and accomplishment.

Similarly, games like “Genshin Impact” and “PUBG Mobile” provide immersive worlds that serve as escapism, allowing minors to step into varying roles. Other competitive competitions, such as “King of Glory” and “League of Legends,” fuel a powerful sense of achievement and progression.

Moreover, the robust social components in these games provide a platform for minors to connect with existing friends and forge new friendships. This social interaction, combined with the capacity for character customisation and the games’ inherent reward systems, offers a unique form of personal expression and motivates sustained engagement.

Cultural trends and peer influence also play a part, creating a fear of missing out (FOMO) that further drives their interest in gaming. Lastly, the strategic challenges presented by games like “Three Kingdoms Tactics” allow younger players to develop critical skills like strategic thinking and problem-solving.

Existing Regulatory Measures in China

Turning the spotlight on the regulatory scene, we evaluate the efficacy of China’s safeguards against the pitfalls of minor-led gaming expenditures. Despite the proactive measures in the “Notice on Preventing Minors from Addiction to Online Games” and the latest 2021 guidelines, the gaming landscape’s relentless evolution poses unique enforcement challenges.

The “Notice on Preventing Minors from Addiction to Online Games”, published in 2019, introduces several measures aimed at curbing the excessive engagement of minors in online gaming.

Firstly, it mandates real-name registration for online game accounts, ensuring accountability and age verification. Additionally, it imposes restrictions on game services provided to minors, prohibiting access between 10:00 pm and 08:00 am.

Secondly, it sets specific time limits for gaming, allowing a maximum of three hours per day during statutory holidays and one and a half hours per day during other periods.

Lastly, the notice limits game payments based on age, with different caps on single recharge amounts and monthly cumulative limits for users aged below 8, between 8 and 16, and above 16 years old.

The latest regulations, published in 2021, limit online game providers can only offer one-hour services to minors from 8:00 pm to 9:00 pm on Fridays, Saturdays, and Sundays, as well as on official holidays.

Case Studies and Examples

The article presents several case studies of specific game titles and their monetisation strategies for children to provide a deeper understanding. It examines how these strategies incentivise spending and explore their impact on children’s spending habits and financial literacy. Here listed some companies’ measurements that regulations have effectively protected children’s interests, providing insights into potential strategies for mitigating the issue.

Case Study of Tencent Games

Tencent Growth Guardian App

It is an initiative developed by Tencent to provide a comprehensive online protection system for underage users. The app introduces parental control measures, encouraging a healthier digital environment for children and teenagers. This includes playtime restrictions, spending limits, and real-time monitoring of game activities, fostering responsible gaming habits and safeguarding young users from potential online risks.

Source from Tencent Games

The Efficiency of Tencent Games’ Effort

During the 2022 winter break, 7.92 million minor gaming accounts were blocked daily from logging into Tencent games outside permitted hours. Additionally, 9.40 million adult accounts daily triggered facial recognition during login and 0.43 million during payment. Due to verification issues, about 74.17% and 77% of funds were regulated at the login and payment stages.

Source from Sina

The Newest Program of Tencent Games for Minors

Tencent Games has launched a comprehensive youth protection program, focusing on creating an informative and entertaining environment for healthy growth among young people. With initiatives like the creation of the Teenage Tech Space, the launch of the Virtual Simulation Lab, and the introduction of the “Intelligence and Physical Dual Hundred” plan, they aim to stimulate interest in technology and physical activities. This program signifies an innovative step towards integrating gaming technology into education and extracurricular activities, thus promoting a balanced lifestyle for the younger generation.

Source from Tencent Games

A ‘One-Size-Fits-All’ Total Ban on Minors Playing Video Games Sparks Controversy

1) Possibility of Revengeful Exploration

The proposal by a National People’s Congress representative to entirely ban minors from playing video games might lead to revengeful exploration. In other words, strict regulations might push children to find ways around the restrictions or burst into video games when they are over 18.

According to a 2022 report by QuestMobile, the average daily time spent by Generation Z individuals in China on King of Glory is 2.23 hours and on Peace Keeper Elite is 1.84 hours. If we prohibit all games for minors, wouldn’t they be more likely to indulge in gaming during their college years?

Source from QuestMobile

2) Universality of the Internet

With 75.60% of national internet users and 96.80% of minors using the internet, a complete ban on online gaming may be unrealistic and enforceable. Instead, education and guidance can play a crucial role. Children must learn to control their desires and manage their time effectively during their growth process.

3) Need for Clear Regulations and Restrictions

Legal and regulatory systems must establish clear guidelines and mechanisms to prevent minors from accessing or engaging in games. This includes addressing any loopholes in the login process, avoiding using parents’ passwords for direct payment, and ensuring that real-name verification or face recognition is not bypassed.

4) Limiting Types of Games for Minors

Another proposal could be to limit the types of games that minors can play. Restricting games with violent or gory content, or those that feature gunplay, could be a reasonable measure that balances the rights of children to play games with the need to protect them from potentially harmful content.

For example, the game, Oriental Empires, is set in ancient China, covering significant periods from 1500 BC to 200 AD. Through managing technological advancements, navigating realistic geography, engaging with critical historical events, and navigating diplomacy and warfare, students can gain a nuanced understanding of the development and challenges of ancient China.

Conclusion

This research underscores the importance of continuous monitoring and the need to adapt regulatory measures in line with the rapidly evolving gaming industry. Highlighting the potential long-term implications for the gaming sector and child protection in China, it calls for sustained efforts to safeguard young players’ financial and emotional well-being. As our understanding of the gaming world deepens, one fact becomes clear: proactive, adaptable, and comprehensive strategies are crucial in navigating the complexities of children’s engagement with video games.

Reference

“Chinese industry body declares initial victory in reducing video game addiction among minors, raising hopes for eased regulation”, 23 Nov 2022, South China Morning Post, https://www.scmp.com/tech/policy/article/3200609/chinese-industry-body-declares-initial-victory-reducing-video-gaming-addiction-among-minors-raising

“62.5%未成年网民经常玩游戏 国家出重拳防止沉迷网游”, 6 Sep 2021, China News https://www.chinanews.com.cn/gn/2021/09-06/9558976.shtml

“China further prevents minors’ addiction to online games”, 5 Nov 2019, Xinhua News http://english.www.gov.cn/statecouncil/ministries/201911/05/content_WS5dc12e61c6d0bcf8c4c16952.html

“China strengthens law enforcement to prevent online gaming addiction among minors” 8 Oct 2021, Xinhua News,

https://english.www.gov.cn/statecouncil/ministries/202110/08/content_WS616035a5c6d0df57f98e1588.html

“腾讯未成年人游戏时长三年下降96%,流水下降90%”, Sina, 17 May 2023, https://finance.sina.com.cn/stock/relnews/hk/2023-05-17/doc-imyuauqv2992480.shtml

Understanding Singapore’s Certificate of Entitlement (COE) Trends: An In-depth Analysis of Category Quotas and Premiums

 

Source from Getty

Delving into the latest data, the five categories, A to E, show unique trends and dynamics.

Category A: Cars ≤ 1600cc & 130bhp or 110kW

Category A COEs, representing cars ≤ 1600cc & 130bhp, or 110kW, showed a quota premium of $101,001, marking an increase of $2,720. This change represents a 2.76% increase from the previous premium quota, indicating strong demand in this category. The number of bids received (663) outpaced the percentage (474) by about 40%, suggesting a competitive market.

Category B: Cars > 1,600cc or 130bhp or 110kW

Category B, designated for cars > 1,600cc or 130bhp, or 110kW, showcased a quota premium of $119,399 with an increase of $1,490. The expansion, about 1.26% from the previous premium quota, reflects a steady demand. Although the bids received were 513, surpassing the allocation 410 by around 25%, the increase was starker than in Category A.

Category C: Goods Vehicles and Buses

In contrast, Category C presented a more stable situation for goods vehicles and buses. The quota premium was $75,589, with a marginal change of $255, or about 0.34%. The quota and bids received were in perfect equilibrium at 109, indicating a well-matched supply and demand.

Category D: Motorcycles

Category D, reserved for motorcycles, experienced a significant change. The quota premium of $5,002 reflected an increase of $7,177, representing a remarkable 58.96% growth. The quota was 554, but the bids received were 670, showing an oversubscription of about 21%.

Category E: Open-All Except for Motorcycle Category

Finally, Category E, the open-all except motorcycle category, had a quota premium of $124,002 with a change of $499. The relatively small increase of about 0.40% indicates a stable demand. The quota was 125, while the number of bids doubled to 271, showing a high demand in this open category.

Comparison Across Categories

COE Premium

Given these trends, the relationship between the quota and bids received can indicate market competitiveness. Categories A and E, which saw submissions exceeding quotas by large margins, are likely the most competitive. The 1significant growth in the quota premium for Category D suggests a rapidly growing demand for motorcycles.

The PQP, the moving average of COE prices in the last three months, is another essential factor. In categories A, B, and E, the PQP is less than the quota premium, suggesting that Categories A and E are currently the most competitive, with bids significantly surpassing the set quotas. Category D showcases an extraordinary increase in quota premium, indicating a rapidly growing demand for motorcycles. The difference between quota premiums and PQPs in Categories A, B, and E shows that recent demand has outpaced historical trends in these categories. In contrast, Category C is experiencing a potential softening of orders as its PQP exceeds the current quota premium.

Conclusion

In conclusion, analysing quota premiums, the quota-to-bid ratio, and comparing quota premiums with PQPs provide valuable insights into the trends and dynamics of COE prices in Singapore. It is clear from the analysis that there are significant variations across different categories, and the demand and supply factors influence these variations.

Reference

“COE prices for small cars fall 9%, but open category hits record high, motorcycle premiums double”, Online Today, 17 May 2023 https://www.todayonline.com/singapore/coe-prices-close-mixed-open-record-small-slide-2173111

Certificate of Entitlement Quota, Land Transport Authority, https://www.lta.gov.sg/content/ltagov/en.html

“Drop in COE premiums may see car buyers rushing in and pushing prices back up, say analysts”, CNA, 18 May 2023, https://www.channelnewsasia.com/singapore/coe-car-premiums-drop-higher-demand-rising-prices-analysts-3497966

The Disparity in Accessibility between Developed and Developing Countries

 

Source from Getty Image

Introduction

Accessibility is a fundamental human right, yet it is often overlooked and neglected in many parts of the world. In developed countries, accessibility measures such as ramps, elevators, and tactile paving are commonplace, while in developing countries, they are often non-existent. This disparity in accessibility significantly impacts the lives of people with disabilities, making it difficult for them to participate fully in society. In this article, we will explore the issue of accessibility in developed and developing countries, the challenges faced by people with disabilities, and the potential solutions to bridge the gap.

Accessibility in Developed Countries

In developed countries, accessibility measures are mandated by law and integral to building design. This means that buildings, public transport, and other facilities are designed to be accessible to people with disabilities. For example, buildings must have ramps and elevators, and public transport must have wheelchair ramps and designated seating areas. These measures make it easier for people with disabilities to navigate their surroundings and participate fully in society.

Accessibility in Developing Countries

In contrast, accessibility measures in developing countries are often non-existent or inadequate. This is due to various factors, including lack of awareness, insufficient funding, and poor implementation of accessibility laws. As a result, people with disabilities in developing countries face significant challenges in accessing public spaces and services. For example, many buildings do not have ramps or elevators, making it difficult for wheelchair users to enter or exit. Public transport is often not accessible, with no wheelchair ramps or designated seating areas. These barriers make it difficult for people with disabilities to participate fully in society and lead independent lives.

Challenges Faced by People with Disabilities

The lack of accessibility in developing countries significantly impacts the lives of people with disabilities. They face numerous challenges in accessing essential services such as education, healthcare, and employment. For example, inaccessible schools make it difficult for children with disabilities to attend classes, while unavailable healthcare facilities make it difficult for them to receive medical treatment. Inaccessible workplaces make it difficult for people with disabilities to find employment and contribute to the economy. These challenges can lead to social isolation, poverty, and a lower quality of life for people with disabilities.

10 Issues Faced by Disabilities

Potential Solutions

There are several potential solutions to bridge the gap in accessibility between developed and developing countries. One approach is to increase awareness and education about accessibility. This can involve training architects, engineers, and building owners on accessibility standards and best practices. Governments can also incentivise businesses and organisations to make their facilities accessible. For example, tax breaks or subsidies can be offered to companies that invest in accessibility measures.

Another approach is to provide funding for accessibility measures. Governments can allocate resources to build and retrofit buildings and public spaces to make them accessible. International organisations can also provide aid and support to developing countries to improve accessibility.

Finally, there is a need for more vigorous enforcement of accessibility laws. Governments can impose penalties for non-compliance with accessibility standards, and individuals can be empowered to file complaints and seek legal redress for violations of their rights.

Conclusion

In conclusion, the disparity in accessibility between developed and developing countries is a significant issue that affects the lives of people with disabilities. While developed countries have significantly improved accessibility, developing countries still have a long way to go. The challenges faced by people with disabilities in accessing essential services and participating fully in society are significant, but there are potential solutions to bridge the gap. By increasing awareness, providing funding, and enforcing accessibility laws, we can work towards a more inclusive and accessible world for all.

References

“UN Convention on the Rights of Persons with Disabilities”, UN, https://www.un.org/development/desa/disabilities/convention-on-the-rights-of-persons-with-disabilities.html

Challenges faced by people with disabilities: https://www.who.int/zh/news-room/facts-in-pictures/detail/disabilities

Potential solutions to improve accessibility: https://www.ohchr.org/sites/default/files/2023-04/A-HRC-52-32-Transformation-of-services-for-persons-easy-to-read_0.pdf