You're using a narrative to analyze the economy though. That obscures the underlying dynamics of money creation in booms and busts, namely fractional reserve b

You're using a narrative to analyze the economy though. That obscures the underlying dynamics of money creation in booms and busts, namely fractional reserve banking and the money multiplier that causes the money supply to rapidly decrease and increase in the western banking system as a result of loans and defaults. I'm not even sure if the money multiplier effect even happens in China, or if it's 100% reserved. It's a bit hard to get information about Chinese banking regulations in English.