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<p>The reason is because they have 1.3 billions people. The key word is “Opportunity”. In america, we have more opportunity and resources. We have more colleges / universities in America than China (and our population is 1/5).
In a society where there are so many people, there’s got to be a way to filter people because not everyone will have a seat. Just like here at top universities. However, here, if you fail, you can just go to community college and work your way up if you’re willing to study. There, you can’t. Simply because most people go to one school and stay there for 4 years. You can’t transfer. </p>
<p>Also, there are certain majors offered in certain universities only. If university A is the only place that offers psychology in that city and you failed to get there, you have to choose a different major at a different school. That’s why it’s competitive. In a society with limited resources, that’s the way you have to do.</p>