Confronting 'neijuan': China addresses unhealthy competition

Many describe today's college admissions process as an "arms race," where students feel pressured to accumulate even more impressive extracurricular activities to keep pace with the competition.

This phenomenon is particularly acute in China, where comprehensive reviews and a pervasive achievement culture have permeated not only colleges but also high schools, middle schools and even primary schools. A nine-year-old in China may sacrifice sleep and socializing with friends to squeeze in extracurricular activities for admission to an elite middle school.

This unhealthy competition extends beyond schools. White-collar workers compete to log the most overtime, sometimes to the point of depression; manufacturers compete to offer the lowest prices even at a loss; and local governments vie for the most generous enterprise policies, often neglecting long-term economic consequences.

Social media users have been using the term "neijuan" to describe this phenomenon. Often mistranslated as "involution", a term with established anthropological connotations, neijuan is not simply about hard work. It describes a system where individuals are compelled to work increasingly harder merely to maintain their relative position, resulting in diminishing returns and widespread exhaustion.

Some Chinese individuals have adopted a personal counterstrategy: "tangping", meaning "lying down". This philosophy advocates opting out of the relentless competition and rejecting the pursuit of traditional milestones, questioning the value of arduous effort with little to no return. It's a bit like the English meme "reject humanity, return to monkey."

Chinese policymakers have acknowledged this issue and are taking steps to address it. In late 2023, Xinhua News Agency, citing central officials, reported that "neijuan-style competition" was evident in some emerging industries. A July meeting of the Communist Party of China (CPC) leadership called for enterprises to prevent "rat race-style irrational competition" – the official terminology for neijuan.

Most recently, following the annual Central Economic Work Conference in Beijing, the CPC leadership signaled a shift from simply preventing neijuan to actively addressing it by regulating the behavior of both enterprises and local governments.

"New industries like new energy vehicles and solar panels, which we have worked hard to cultivate, now face new challenges," said Han Wenxiu, executive deputy director of the Office of the Central Committee for Financial and Economic Affairs. "We must address irrational competition and ensure the healthy development of these industries to maintain our competitive edge in the global market."

The specific measures remain undisclosed, but experts suggest potential approaches. "We need to make good use of market-oriented and legal means," said Han, emphasizing the need to "improve standards in technology, environmental protection, safety, energy consumption, etc."

Liu Yuanchun, dean of Shanghai University of Finance and Economics, added that local governments are also a target. "The neijuan competition among local governments to attract investment will be addressed," Liu said.

(Cover via CFP)