Japan has a similar system that isn't even sanctioned by the government. It's created an entire generation of young people who have dropped out of society.
Could you please provide some links about this? I'm curious.
I recommend the book "Shutting Out the Sun: How Japan Created Its Own Lost Generation" by Michael Zielenziger. The main topic is Hikikomori, a group of (mostly young, mostly male) Japanese people who, unable to handle to immense pressure to conform to Japanese society, shut themselves in their rooms 24/7 and depend on their parents.