The authors conducted a survey of 1,758 elementary school children (6-14 years old) from December 2001, to March 2002, in 3 Chinese cities with different levels of television advertising. The authors used D. R. John's (1999) model of consumer socialization as the theoretical framework for their study. More than half of the children whom the authors interviewed were able to understand that television stations broadcast commercials to earn money. Their understanding of the purposes of television commercials and the persuasive intention of television commercials developed with age. The authors examined the influence of gender, level of advertising, and level of television viewing on children's understanding of television advertising by using 3-way factorial models. (Contains 1 table.)