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At the time of the founding of the People's Republic, Beijing Municipality consisted of just its urban area and immediate suburbs....
The urban area was divided into many small districts inside what is now the 2nd Ring Road. The Beijing city wall was torn down to make way for the construction of the 2nd Ring Road, which was finished by 1981 in accords with the 1982 city plan. That road was the first of a series of new ring roads intended for automobiles rather than for bicycles.
Following the economic reforms of Deng Xiaoping, the urban area of Beijing has expanded greatly. Formerly within the confines of the 2nd Ring Road and the 3rd Ring Road, the urban area of Beijing is now pushing at the limits of the recently-constructed 5th Ring Road and 6th Ring Road, with many areas that were formerly farmland now developed residential or commercial districts.
In recent years, the expansion of Beijing has also brought to the forefront some problems of urbanization, such as heavy traffic, poor air quality, the loss of historic neighborhoods, and significant influx of migrants from poorer regions of the country, especially rural areas.
Early 2005 saw the approval by government of a plan to finally stop the sprawling development of Beijing in all directions. Development of the Chinese capital would now proceed in two semicircular bands just outside of the city centre (both west and east) instead of being in concentric rings.
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