A recent survey conducted by career consulting firm Universum showed that Shanghai has already overtaken Beijing as the top choice of employment for China's university graduates, partly due to the capital's pollution problem and Shanghai's job opportunities.

The survey, which polled more than 50,000 graduating students from at least 100 universities across China, showed that Shanghai has taken over the top spot from Beijing, which has been leading the survey for the past three years.

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Not surprisingly, Shanghai, Beijing and Guangzhou are the top choices for graduating students who were asked about their career expectations and preferences for their future employment. The three cities are also considered as the top economic engines for the country's development.

Shanghai offers more job opportunities, has proactive policies, and attractive living and working environment compared to Beijing, which is currently battling the growing problem of pollution, a career expert said.

Beijing Battles Pollution, High Cost of Living

For years Bejing has been the top choice for university students looking for a good career because of the city's status as a capital. But the city has been battling high living cost and bad air problem, which have turned off not just the university graduates but also investors.

Another reason why Shanghai has overtaken Beijing in the survey is that it is easier to get a permanent residency permit in Shanghai than in the capital. Shanghai has recently introduced flexible residency policy in order to attract talent and subsequently attract multinational companies to invest.

Even university graduates who live near the capital said they would love to work in Shanghai because of the city's energy and openness. One student said he has been to Shanghai before his graduation and noticed how well managed the city is and how attractive the environment is.