Lantern Festival, also known as Shang Yuan Festival, is observed on the last day of the 15-day New Year's celebrations. On the night of Shang Yuan (Feb 24th this year), festive lanterns decorated with birds, animals, historical figures, lucky symbols, and any number of other things are hung out at every home. In modern China, competitions are held to highlight this glowing art exhibition.

The beginnings of Shang Yuan are shrouded in the mists of time, dating all the way back to the Han Dynasty. Many legends attempt to explain the origins of this festival, but the most popular is that of the Jade Emperor. In this rendition, the Emperor of Heaven was so enraged at a town for killing his favorite goose, that he decided to destroy the town in a storm of fire.

A good fairy learned of this terrible plan, however, and warned the townsfolk of the Emperor's impending revenge. She told them to light lanterns throughout the town that night. Everyone did as she suggested, hanging lanterns outside their homes and businesses. From the Heavens, the town appeared to be ablaze, and so, satisfied that his goose had been avenged, the Jade Emperor left the town alone. Since that time, people have celebrated the anniversary of this event by hanging lanterns at the first full moon of the new year.