The same probably holds without AI. China is still in the stage of development, where people reasonably expect that the future will be better. The West has not really been optimistic about the future since the 90s. There is always something around the corner threatening to make the future worse. Maybe it's the economy, maybe it's climate change, maybe immigration, or terrorism, or war, or whatever.
It's worth noting that China has seen decades of steady development, and has avoided the boom/bust cycles we see happening in the west. While we've lived through dotCom bubble, the 2008 crash, covid, and now the looming AI bubble, China has just seen steady progress without the working majority getting screwed every decade like clockwork. While future can always bring something unexpected, it is possible to have a resilient system that adapts to the problems as they surface.
Don't forget the completely unaccountable megacorps who are increasingly invading our day-to-day lives, and the politicians whose main priority seems to be competing for their bribes.
The depressing part isn't that we are facing hard challenges and declining as a society. The depressing part is that it is a deliberate action.