Okay, I agree that the child would have more psychological issues, such as inadequacy, in the fact that they would have hundreds of other children to compete with, but this would also lead back to my point earlier. The child will have to rely on his, or herself for strength rather than relying on others.
And just about everything is confusing for a child at a young age. Do you really think that all children find a big, purple, talking, dinosaur logical? No, but they know that he is funny, and insightful. So like all other things children process, they do not question the system, they just get with it. Instead of questioning why there is a prehistoric, discolored, talking animal on the television, they just sit back and enjoy it like everyone else. So, the children would, in theory, just go along with the program and not question why they have to compete with hundreds of other kids. They will just do.
And thanks. A lot of people would see this as a crude challenge of wits to see who is smarter.