If the state is the people then the cost is borne somehow by the people. China’s method is to to deflate the cost of living by reducing the cost of production and services at every possible aspect (think for example getting to hospital and getting reviewed by a specialist - like the whole journey - and think about every single cost involved in that journey: the transportation, the power/energy poduction, all the professionals (the cost of their education and their living expenses), infrastructure, mineral and material supply chains, pharmaceutics etc)