China's Gaokao national college entrance exam creates a powerful meritocratic engine that drives economic growth and global competitiveness through intense discipline and standardized testing, but simultaneously produces systemic distortions including regional inequality (Beijing students have 30x higher admission rates to top universities than Guizhou students), psychological tolls from extreme pressure, and a generation lacking critical thinking skills that struggle to adapt outside the exam-oriented system, ultimately scaling through global markets and institutions to influence worldwide education and geopolitics.
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The Exam Cult Behind China’s Wealth — And Its MiseryHinzugefügt:
You've probably seen the data. Young Chinese students constantly rank at the top of global tests like PISA, outperforming many countries in maths, reading, and science. At the highest level, they're solving problems that have puzzled mathematicians for over a century. In 2026, two of the four winners of the New Horizons in Mathematics Prize, often called the Oscars of the maths world, were trained at Peking University. But at the same time, you're seeing something that doesn't match those results at all. Chinese engineers charged with stealing AI secrets, widespread academic fraud, and increasingly aggressive behaviour on the global stage. Both of these are inextricably linked to the exact same education system centered around the Gaokao, China's notoriously difficult national college entrance exam taken by tens of millions of students every year. And I know that because I lived inside it. For years, I slept 5 hours a night, studying seven days a week for that single exam. I aced it. I got into a top university. It gave me the discipline to build a career in Shanghai during one of the fastest economic booms in history. The system works. But after stepping outside it, I realised something else.
Something you don't see in rankings, awards, or GDP numbers. In this video, I'll break down how this exam system became one of the most powerful engines of wealth creation in modern history and why that exact same system is also producing distortion, resentment, and behaviors that are now showing up across the world. To understand why this structure creates such realities, we have to go back much further into history. For thousands of years, China was a vast agricultural civilisation. To maintain a massive empire, the state required a highly sophisticated apparatus powered by the Keju, the imperial exam system used to select competent officials. One of the reasons a standardised exam could be implemented across such a vast territory was China's deeply cohesive writing system. Unlike the more volatile alphabetic languages of the West, logoraphic Chinese characters prevented divergence even as spoken dialects evolved. Furthermore, since the Song Dynasty, the introduction of standard pronunciation through the book Guangyun removed spoken barriers entirely. Combined with a widely shared and scalable writing system, it made the empire's control through elected officials incredibly effective. Philosophically, for over a millennium, China operated on a shared framework rooted in Confucianism. As the Analcts state, "When one excels in learning, let him take office." And "Do not worry about having no position.
worry about whether you are worthy to hold one." This meant that status anxiety was intended to be directed inward towards self-cultivation rather than outward at circumstance. It created a social contract where your status was determined by the demonstrated merit of the Keju exam rather than by birthright. You were convinced that your entire future depended on how well you performed on a single test. However, after Mao established the People's Republic of China in 1949 based on the Soviet model, that structure was completely dismantled, climaxing during the Cultural Revolution in the 1960s. Schools were shut down. Intellectuals were persecuted. Mao dismissed all Confucian ideas of merit as a root cause of China's failure to confront hostile imperialism, replacing them with illiberal utopian promises of perpetual class war. There is a dark joke on the Chinese intranet about the biographies of patriotic Chinese scientists who returned from abroad to build the nation during that period. The bios often read "born 19XX – died in 1968". Everyone knows what that means. They were eliminated during the peak of the cultural revolution in 1968. For three decades, an entire generation lost complete access to education. Then everything flipped again. Deng Xiaoping and his pro-capitalism allies waged a life-or-death struggle after surviving repeated purges, assassination attempts, and public humiliations. When Mao died in 1976, Deng's faction quickly seized a narrow opening, arresting Mao's radical team in a midnight coup.
By 1978, the old meritocracy was restored by establishing a standardised national exam system.
With the crushing restrictions finally lifted, the immense intelligence and resilience of the Chinese people were unleashed. My own family utilized this 1978 exam reform to earn degrees in medicine and engineering, achieving a level of advancement that was previously unimaginable. This dramatic shift resulted in Chinese parents developing an excessive obsession with exam-oriented education.
Hoping the anti-merit nightmare would never repeat itself, they strictly required their children to follow this proven path, giving rise to the famous "tiger parents" phenomenon. But the system wasn't rebuilt on neutral ground. Although meritocracy returned, the political structure that had previously destroyed it never disappeared. After Deng's reform, the regime maintained a paradoxical admiration of Mao for his initial founding of the country through autocratic rule.
Even a global backlash against the 1989 Tiananmen crackdown on pro-liberty citizens did not sway the elites. Having staged a life-or-death coup, they believe they had finally kept the massive empire together by seizing the ultimate truth. Embracing western capitalism through illiberal rule. There is a famous joke about this era. Deng Xiaoping is in a car driven by the premier Li Peng. They reach a junction, Russia on the left, America on the right. Li asks which way to go.
Deng replies, "Turn the left blinker on, but drive to the right." That contradiction still define the system today, and it's exactly what turns meritocracy into something much more unstable.
In a radical way, today's exam system was heavily shaped by China's economic growth model, a "provincial tournament" where local officials competed for promotions, mainly by delivering higher GDP. So, resources followed outcomes ruthlessly. Funding went to elite urban schools in cities like Beijing and Shanghai. Those schools produced the highest Gaokao scores, raised China's universities in global rankings, and most crucially educated the children of senior CCP officials. By contrast, educational infrastructure in rural and inland provinces like Guizhou, where I grew up, was systematically underfunded, not through malice, but through the cold logic of the regime's unchallenged reward system. On top of this, students are required to attend school and take the Gaokao only in their registered home province. If you grew up in Beijing or Shanghai, your chances of getting into a top university are five times higher. For the country's most desired school, Peking University, the gap is stark. The admission rate is about 1.02% for Beijing students, but only 0.035% for students in Guizhou. It is roughly 30 times harder for a Guizhou student to win a place. That's not a small gap. It turns what is supposed to be a national exam into a postcode lottery, fundamentally changing what merit actually means in practice. If this were in other countries with constitutional legal challenges or vibrant independent media, this kind of gap wouldn't stay hidden for long. But in China, the administrative apparatus ensures that the problem remains statistically invisible. Even though exiled journalists constantly expose these problems overseas, they never receive enough attention within the heavily censored Chinese intranet, allowing the central government to remain indifferent. Because of this top-down structure, the Gaokao has become a brutal zero-sum game. Combined with the pressures of tiger parenting and the isolating effects of the one child policy, Chinese youth have become lone islands, adrift in an endless sea of exam sheets. In 2025, the exiled Chinese pro-liberty influencer Teacher Li launched a crowdsourced GitHub project to document the notorious 611 schedule prevalent in Chinese schools. Studying from 6:00 a.m. to 11:00 p.m., six or seven days a week. Collecting thousands of anonymous reports, the project illustrated how Chinese students frequently endure longer, more oppressive hours and fewer rest days than actual prison inmates, leading to widespread mental health breakdowns and self-harm. However, when students anonymously submitted reports, state security officers intervened. They pressure school administrators to crack down on "foreign influence", explicitly instructing them to stop those "little treasonists" from assisting the foreign "big treasonist" referring directly to Teacher Li. Valid workload grievances were reframed as national security threats that damage the Gaokao's reputation. Because the system depends on one core belief, that it is fair and objective. If that belief breaks, the pressure becomes harder to justify, so it's maintained. And that's where the psychological shift happens. When everything is framed as fair, failure stops feeling situational. It feels personal. A bad score feels like you didn't work hard enough, and that stays with you. Moreover, the Confucian culture of "Face" turns a child's score into the public mirror of the entire family's virtue. Parents pour massive fortunes into private tutoring because the system treats a low score as a direct blow to the family's worth and status. This gave rise to a fanatical private tutoring industry worth billions. It produced superstar tutors like Zhang Xuefeng whose recent sudden death from overwork triggered tens of thousands of exam takers to attend his funeral. Everyone tells you just get through the Gaokao and life will open up in college. So you endure it. You pass the exam. You enter university. And suddenly no one is pushing you anymore. I lived this. After I aced the Gaokao and entered the top university, the massive weight lifted. And I realised no one had ever taught me how to think for myself. I started doing everything I was forbidden to do before the exam. I skipped classes en masse, became a frantic performer in a metal band to vent my anger, stayed up all night in nightclubs, and abused alcohol. It's not just personal. The data reflects this systemic burnout. While 15year-old Chinese students dominate global PISA tests, research shows their critical thinking skills actually decline during their college years. Unlike their US peers. This partly explains why some overseas Chinese students behave in grotesque or resentful ways once they step outside the Gaokao-oriented system. They were never taught how to deal with a non-standardised world filled with nuance, nepotism, and corruption. They are rarely equipped with the mindsets needed to navigate hierarchies drastically different from the one they were programmed for. By the way, I actually made a video talking about how this lack of critical thinking had a huge double-edged impact on how China built its tech power. Check out my previous video here. With all that being said, this system doesn't operate insulated from the outside world. Once integrated into the global economy, the exam system also became an engine of enormous wealth. Opening up to the outside world provided an escape hatch. It allowed those disillusioned by the exam system to find new opportunities elsewhere.
Foreign Direct Investment and fascination with western capitalism brought a new utilitarian mercantalist mindset. People trained in the grueling galo system took their intense discipline and applied to tech and commerce. They didn't have the "sales equals sleazy" mindset that holds many back in the west. Their audacity to make money was fueled by the survival instincts honed in the exam matrix. You could feel the vibrant momentum of rapidly booming startups everywhere, fuelled by western tech transfer. Famous Chinese apps like Rednote were initially built by former employees from Google China and Uber China – people who were forced out after the foreign platforms were shut down for refusing to accept arbitrary state rules. Despite political constraints, the scale of the globalized economy fostered a more genuine merit-based system where competence determined employment. I saw this firsthand. Disillusioned with the initial path, I deviated from it.
Through relentlessly learning from globally renowned industry figures in Shanghai, I established a tech-oriented music production career there. My hard work paid off. My work was featured in blockbuster films and video games released worldwide. Outside the Gaokao-oriented system, performance matters more than exam scores. Furthermore, if the training backgrounds from the two systems blend organically, you get the astonishing results I mentioned at the beginning.
Two Gaokao winners, Wang Hong and Tang Yunqing, further their education and academic careers in America's system, ultimately contributing to a historical mathematical breakthrough. And the work they are doing isn't abstract. It underpins industries like wireless communication, medical imaging, and data transmission – fields worth trillions. It proves that the same discipline that drives test performance can drive sustainable innovation if it's placed in a system that allows experimentation and rewards initiative. That's part of how China built so much wealth so quickly. But this path isn't evenly available. To gain access, you must have experience in global markets and environments where different rules apply. Without that, most people remain inside the original structure.
So you end up with a split outcome. Some people adapt, expand, and build across systems. Others remain optimised for a system that doesn't fully translate outside of it. And that difference becomes much more visible over time. For those who stay within the state system, the incentives change fundamentally. In that context, loyalty is just as important as performance, if not more so.
Some people who fail the Gaokao are absorbed into state-run businesses, such as Censor-on-demand firms. There is a stark irony in an interview where a Chinese sensor discussed how he failed academically yet was given enormous state power to censor dissenting articles written by academically successful writers. Others move into more elite tracks through institutions funded directly by Ministry of Foreign Affairs or Public Security. They enter the heart of the state apparatus where indoctrination is exponentially harsher. They face crueller standardised exams and more rigorous scrutiny of their political opinions. They are heavily trained in anti-imperialist ideology and revanchist patriotism. Those who finally survive and prevail in that closed system become China's dogmatic elites and ideologues. When they operate internationally, the differences in their programming become highly visible. We see the theft of advanced AI technologies by Chinese talents embedded in Western firms, exemplified by Linwei Ding's recent exfiltration of over 2,000 pages of Google's confidential secrets to launch a Beijing startup. We see industrial-scale model distillation attacks on US platforms conducted by Chinese AI firms like Deepseek and MiniMax using millions of proxy queries to replicate proprietary AI models at low cost.
These issues reflect that when they enter open systems, they often prioritise winning at any cost rather than collaboration. But they don't represent everyone trained in the system.
There are also many individuals who move in the opposite direction. Students, professionals, and insiders who gain exposure to open environments, often reassess the systems they came from. Many speak openly about it, sometimes at immense risk. Many overseas Chinese students bravely speak out against China's aggressive policies, its unsustainable models and the abuse of ethnic minority rights. Despite facing imprisonment for their views, they continue exercising free speech, building on the courage that force the regime to ease its harsh 2022 lockdowns. However, the balance between these two forces is tilting alarmingly. China's state-sponsored actors are increasingly exploiting the western open society's internal malaise and nihilism.
Open systems thrive on accountability, debate, and genuine meritocracy. But when institutions chase short-term gains, these foundations weaken. For example, top universities like Cambridge quietly discouraged talks on the misery created by China's system. Their policies favoring "widening participation" and contextual offers have prioritised full-fee Chinese enrolments over meritocracy Cambridge receives tens of millions in funding from Chinese entities and around 25% of its tuition revenue from Chinese students. So it chooses short-term harmony over free speech.
Similarly, executives at major western tech firms keep sourcing cheap lithium and cobalt from supply chains tied to Chinese firms' labour abuses and environmental damage, because confronting it would raise costs and slow their green targets. US companies like IBM, Dell, and Cisco have sold billions of dollars worth of computing hardware and analytics tools directly to Chinese police, enabling the surveillance and detention of prisoners of conscience. Under such global conditions, the bitter irony is that the ideologues trained in China's pathological exam system don't feel the pathology anymore. Many Western elites contribute to the repression that silences the conscientious Chinese voices the West claims to champion. And that's the real danger.
An exam system that trains people to optimise for one narrow definition of success doesn't just stay inside its borders. It scales through global markets, institutions, and incentives. I lived inside that system. I benefited from it. But I've also seen what it leaves behind – in people, in dignity, and in the way it reshapes the definition of freedom globally. And if we don't recognise how it works, we don't just misunderstand China. We start repeating the same logic ourselves. If you found this analysis helpful in understanding China's education system and would like a deeper dive into what freedom actually means for us and how Chinese citizens preserve freedom on the ground, check out my previous video here. Thank you for watching. Stay well.
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