Why China’s M1 Jumped to ¥108T!

Show Notes

In January 2025, China radically redefined its M1 calculation—resulting in an overnight leap from 63 trillion to 108 trillion yuan. Matthew explains why this isn't necessarily inflationary in the traditional sense but instead reflects China’s attempt to account for mobile payment activity through platforms like Alipay and WeChat. Meanwhile, M0 (physical currency in circulation) continues its fast-paced, exponential climb—doubling in just seven years post-2001, faster than nearly any other country. A Clip From Porkopolis Economics Episode 242 Chapters: 00:00:00 - Intro 00:00:11 - China's Unique Economic Landscape 00:00:38 - Impact of M1 Changes During Pandemic 00:01:04 - China's M1 Growth and Mobile Payments Show Sponsor: Debifi - https://debifi.com/ Donations to Porkopolis Economics via BTCPay are appreciated: https://donate.basemoney.world/i/9Y1RzT4cp3y8VEYhjEKkwi Host: Matthew Mezinskis https://porkopolis.io Twitter: https://x.com/porkopolis_econ Show content is not investment or financial advice in any way. #economics #money