America Had ‘Quiet Quitting.’ In China, Young People Are ‘Letting It Rot.’
Demoralized by a weak economy and unfulfilling jobs, young Chinese are dropping out, exploring spirituality and becoming more rebellious, presenting new challenges for Beijing
By SHEN LU
Tue, Dec 19, 2023 8:45am 7min
Li Jiajia, 24, says she found herself unmotivated to climb the ranks after she joined a startup in Beijing. PHOTO: GILLES SABRIE FOR THE WALL STREET JOURNAL
China’s ruling Communist Party wants the country’s young people to be ambitious, work hard and prepare for adversity.
Li Jiajia just wants to win the lottery.
Demoralised by a weak economy, unfulfilling jobs and a paternalistic state, young Chinese such as Li are looking for pathways out of the carefully scripted lives their elders want for them, putting themselves at odds with the country’s priorities.
After moving to Beijing from her hometown in southeastern China in April, the 24-year-old Li found her new job as a content creator at a technology startup uninspiring. She said she has no desire to climb the corporate ladder, especially when the number of high-paying Chinese tech jobs is shrinking.
The ever-present role of the state in daily life is stultifying, she said. Though she wanted to be a journalist in high school, she gave up when she realised how heavily the government censors the media.
For Li, scratching lottery tickets offers a moment of escapism. PHOTO: GILLES SABRIE FOR THE WALL STREET JOURNAL
She says she knows she probably won’t win the lottery. But when she plays, at least she can dream of a better life—most likely abroad.
“I want to leave here and live the life I want,” Li said. “It won’t happen overnight, but for now, the thrill of scratching lottery tickets gives me a little break.”
Since China’s government cracked down on disaffected students in Tiananmen Square in 1989, most young people, who came of age in an era of rapid economic growth and rising affluence, have done what they are supposed to do—and been rewarded for it.
They studied diligently to get into prestigious universities, clocked gruelling hours at fast-growing companies and followed traditional expectations of career and family, riding China’s boom to material success.
Many are still doing that. But a growing number of middle-class urbanites in their 20s and 30s in China have begun to question that trajectory, if not reject it entirely, as prospects of upward mobility fade.
More than two years of harsh government Covid controls left some pondering the role of the Communist Party and other sources of authority in their lives, or even the meaning of life and who they aspire to be—questions many had never contemplated before.
Record youth unemployment that topped 21% this year has further dented confidence in traditional paths to achievement in China. Some, like Li, are also frustrated about other issues, such as violence against women in China or government efforts to prevent people from accessing foreign apps such as Twitter or Instagram.
Many are quitting their jobs and turning to meditation and other forms of spirituality. Some are moving far from China’s megacities to start lives anew in places like Dali, a southwestern city famous within China as a hub for digital nomads and dropouts.
Others are flooding fortune-teller stands and Buddhist temples in mountainous areas, or exploring Chinese and Western philosophers and writers from Laozi to Hermann Hesse. Some are throwing “quitting parties” with banners celebrating their newfound freedom.
“This generation has had a lot of resources invested in them,” said Sara Friedman, professor of anthropology and gender studies at Indiana University, who studies Chinese society.
“They have worked really hard. They have been pushed really hard. And to then say, ‘I’m stepping out of this rat race, I’m opting out,’ is a pretty radical decision to be making.”
Young visitors pray at the Lama Temple in Beijing. PHOTO: GILLES SABRIE FOR THE WALL STREET JOURNAL
From ‘lying flat’ to ‘letting it rot’
Social-media discussions about temple visits and anxiety—a central preoccupation of many young Chinese—have surged in 2023, according to BigOne Lab, a research firm.
About 34% of surveyed respondents in their mid-20s quit or were considering resigning from jobs in China’s consumer internet sector—a major employer of young people—in the first half of 2023, according to China’s job-seeking and social platform Maimai.
Playing the lottery has become especially trendy for 20- and 30-somethings, whose purchases of lottery tickets helped push sales to $67 billion from January to October, a 53% jump from the previous year and averaging $48 per person in China.
Catchphrases describing the mood have worked their way into everyday discourse. First, in 2020, was the arcane sociological term neijuan, or “involution,” which referred to situations in which people work hard and compete without anyone getting ahead.
That was followed by “touching fish.” The phrase, borrowed from a Chinese idiom, referred to executing small rebellions at work, such as taking long toilet breaks, doing online shopping or reading novels in the office.
Next was “lying flat,” a form of mundane resistance that involves dragging one’s feet at work or dropping out of the workforce altogether. Last year, the phrase “let it rot” spread to describe young people who have completely given up.
A survey conducted by Tsingyan Group, a research firm, last year found that approximately 96% of nearly 6,000 respondents in China were aware of people “lying flat” to various degrees in their vicinity. The concept held more appeal among people ages 26 to 40 than other Chinese, the survey showed.
“It’s a very passive form of resistance,” said Silvia Lindtner, an ethnographer at the University of Michigan. “It’s definitely a very difficult moment, but it could also be seen as a hopeful moment where there is pressure, in some ways, on the leadership.”
Echoes of the 1960s
In some ways the ennui resembles the “quiet quitting” phenomenon of post pandemic America—or, going back further, the rejection of social norms by young people across the Western world in the 1960s.
In those days, two decades of fast economic growth and wider affluence gave young people more choices than previous generations. Many responded by challenging their parents’ way of life.
For many young urbanites in cities such as Beijing, traditional paths to success have become less reliable and less attractive. PHOTO: GILLES SABRIE FOR THE WALL STREET JOURNAL
In China, where open protests are rarely possible, young people are now rebelling in other ways.
“Lying flat is a latent resistance to the moral blackmailing of society,” said Amy Yan, a 27-year-old Shenzhen resident who once worked as a buyer for her family’s export business. When the business went bankrupt last year after her parents lost their assets in a financial scam, it reinforced her belief that she should give priority to her spirituality.
Even before the bankruptcy, she had decided that accepting the corporate grind and meeting traditional expectations of marriage and children would interfere with her desire to explore her spirituality.
Following the family crisis, she put her savings of $27,000 into supporting a tiny Taoist ashram she had started with a few fellow practitioners.
Coming into Beijing’s crosshairs
Communist Party leaders have long worried young people could stir unrest, as they did in 1989. The party needs young people to get on board with Beijing’s priorities, not just to keep the economy humming and avoid instability, but to help make China stronger in an era of great-power competition with the U.S.
In a speech at last year’s Communist Party congress, widely quoted in Chinese media, leader Xi Jinping laid out his vision for young people, urging them to have “ideals, courage, a willingness to endure hardship and a dedication to strive” to help “build a modernised socialist country.”
In a 2021 article published in the top party journal Qiushi, he specifically warned against “lying flat.” Discussions of the phenomenon have often triggered censorship online.
If all the young people who had dropped out of China’s labor force and relied financially on their parents were counted, China’s real youth unemployment rate could be as high as 46.5%, according to calculations earlier this year by a Peking University professor.
The Communist Party Youth League—with more than 70 million members—has published commentary on its official WeChat account criticising college graduates for having too much pride. Job seekers “should not refuse to enter the workforce due to the difficulty of finding a job or choose to ‘lie flat’ out of fear of ‘involution,’” the article read.
Greater affluence—but an uncertain future
Until recently, China’s economic progress seemed to be unstoppable, with per-capita incomes surging to around $13,000 in 2022 from less than $1,000 in 2000, according to the World Bank.
But economic growth has slowed. Many economists worry China could get stuck in the “middle-income trap,” in which a country’s progress plateaus before it gets rich. Per-capita incomes in the U.S. were around $76,000 last year.
Academic research shows that social mobility for many groups in China has stalled, meaning it has become harder for people without connections to get ahead.
Many employers that young people gravitated to, including Alibaba, Tencent and ByteDance, have been shedding staff amid weak growth and government clampdowns on the private sector. Tech salaries have declined in the past three years, according to Maimai, and opportunities for initial public offering payouts have faded, leaving many who used to work “996” schedules—9 a.m. to 9 p.m., six days a week—wondering what the point was.
It is also true that many more middle-class young people—especially those without children and mortgages—can afford to drop out of the rat race today than in previous eras.
Some plan to leave: Net emigration from China, which fell to 125,000 in 2012 as the country’s economy boomed, rebounded to more than 310,000 in the first 11 months of 2023, according to United Nations data.
Others want to stay—but on their own terms.
Huang Xialu quit her high-stress job as a product manager at one of China’s largest video-streaming companies in April, so she could focus more on spiritual retreats. For a long time before that, the 33-year-old said she had struggled with a lack of purpose.
“I had a very urgent sense that if I didn’t listen to my gut and take a break to explore what I truly wanted to do in this world, it would be too late,” she said.
In the months following Huang’s resignation, she traveled to Dali, where she worked on a tarot-reading stand, took a training course in life coaching and learned to make pottery.
To Huang, lying flat is the opposite of being passive—it is a path for taking control of one’s own life when wading through uncertain terrain, she said.
Now she has become a certified life coach, helping individuals who are as confused as she was to find a way forward. Her income is less stable.
But “I haven’t regretted quitting for a second,” she said.
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SpaceX and Tesla Are Joined at the Hip. A Merger Would Make It Formal.
Elon Musk is exploring a potential merger between Tesla and SpaceX, a deal that could reshape the future of AI, robotics, autonomous vehicles and space technology. With a combined valuation potentially reaching $3.5 trillion, the move could bring Musk’s vision of an interconnected technology ecosystem closer to reality, although a deal remains uncertain.
Musk has run both Tesla and SpaceX concurrently over the past two decades, using a schedule that dictated which days he spent focused on each business.
The companies have often shared resources and personnel, signaling their close ties. Last year, SpaceX looked into creating a spacesuit for Tesla’s humanoid robot Optimus, a person familiar with the matter said. Tesla last week showed off its new Roadster, a vehicle featuring SpaceX rocket thrusters that it hopes to soon bring to market.
And in recent months, Musk has repositioned both companies by expanding beyond their core operations toward a shared mission centered on artificial intelligence.
The world’s richest man on Tuesday signaled his interest in tying up SpaceX and Tesla, marking what would be the biggest corporate merger of all time. Because he serves as chief executive of SpaceX and Tesla, Musk said committees of independent directors at both companies are evaluating a possible deal, adding that a transaction might not come to fruition.
The committees will likely evaluate, with lawyers and bankers, how each company would fare in a potential deal and how a deal might best be structured. They then present their conclusions to their respective boards, who typically vote on whether to proceed.
“It’s an odd Kabuki dance where two groups of people are talking and I can’t be in the conversation,” Musk told SpaceX investors on Tuesday in response to an analyst’s question about a potential deal.
For Musk, the merger supports his vision of a world full of autonomous cars, humanoid robots and weekly rocket launches, as well as the data centers and satellites required to keep the whole thing running.
Some investors and analysts said they expect a transaction would be structured as an all-stock deal, with SpaceX potentially paying a modest premium for Tesla shares.
SpaceX, which has a market value of about $2 trillion, said it is seeing sharp growth in revenue across its businesses, which include operating data centers, launching rockets and operating satellite networks such as the internet service Starlink. Tesla is valued at about $1.5 trillion and is expanding its operations beyond its automotive and energy business. Shares in both companies traded higher following the news Tuesday.
A test flight from the SpaceX launch complex in Starbase, Texas. Steve Nesius/Reuters
Musk’s substantial ownership stakes in both companies, along with voting control at SpaceX, has enabled him to set the deal in motion. Analysts and investors said the deal will probably face regulatory scrutiny internationally, though some see Musk’s close relationship with the Trump administration as an asset to getting approval.
Blurred lines
The companies haven’t said which directors are on the special committees evaluating a potential deal. Several SpaceX and Tesla board members have either personal or business ties to Musk. And like Musk, venture capitalist Ira Ehrenpreis sits on both boards.
In a filing this week, Tesla outlined millions of dollars in business agreements with SpaceX and its subsidiaries last year, including $143 million in car sales to SpaceX, $3.3 million in advertising that it bought on the social-media platform X and $430 million in revenue from the sale of Megapack batteries for SpaceX’s data centers.
The companies also split the cost of resources including the use of Musk’s SpaceX jet and the bill for his personal security, which he runs through a private company.
Employees at both companies routinely move between companies to work on special projects, and some executives have dual roles, including Charles Kuehmann, vice president of materials engineering at both SpaceX and Tesla, and Ashok Elluswamy, the vice president of AI software at Tesla who runs a joint venture with SpaceX called Digital Optimus.
Over the years, Musk has launched new startups within his empire, including brain-implant company Neuralink, underground-tunnel developer the Boring Company and xAI, the AI startup that merged with SpaceX in February.
It is that AI business that Musk thinks can serve a market worth tens of trillions of dollars, justifying the need for a merger.
The business case goes like this: Tesla is developing robotaxis and robots, which it calls “physical AI.” SpaceX is working on the back end of physical AI: the data-center capacity and internet connection required for those robotaxis and robots to operate continuously.
A Tesla Cybercab autonomous driverless vehicle and Optimus humanoid robots. Benjamin Girette/Bloomberg News
“I don’t see what the value of Tesla is if it’s not merged with SpaceX,” said investment adviser Ross Gerber, a former Tesla bull turned critic invested in both companies. “If they don’t merge, the brains of everything that runs Tesla is owned by another company.”
On top of it all, both companies face constraints on the supply chains they need to make this world a reality, particularly when it comes to chips. To address this, Musk earlier this year announced a joint venture between Tesla, SpaceX and Intel to design and manufacture chips in Texas. “The most epic chip-building exercise by far,” he has said.
Musk at the wheel
For Musk, a merger would also solve two problems: demands on his attention and his lack of control at Tesla.
Tesla for years was Musk’s only public company, a status that came with greater scrutiny. There, Musk reports to a public board, as well as individual investors who make up around 30% of Tesla’s voting power, according to FactSet.
The question of Musk’s attention became a particular focus for investors and the board in recent years after he acquired Twitter in 2022 and launched xAI in 2023, and again in 2025 as he spent time in Washington, D.C., running the Department of Government Efficiency in the early months of President Trump’s second term.
As Tesla’s car business suffered in 2025, Musk threatened to take his AI ambitions outside the company if he wasn’t granted 25% voting control. Last November, Tesla shareholders approved a new pay package for Musk, which created a path for him to vastly expand his stake.
As of Sept. 30, Musk owned a roughly 20% stake in Tesla, according to the company’s proxy filing.
The SpaceX IPO gave Musk a different path. When SpaceX went public in June, the deal’s structure enabled him to have more than 80% voting power at the company—so much that he can’t be fired and decisions can’t be made without his support.