But the effects of the strategy you detail, have caused China's debt to GDP to skyrocket to 270% (In contrast: we've got politicians getting nervous about USA's 100% debt-to-GDP ratio).

Its easy to stave off the bust if you just swipe your credit card to solve the problem and kick the can down the road. But the general assumption is that eventually, your country's debt becomes untrustworthy because of all the shenanigans you pull.

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I think the world markets have shown a need for "safe" bonds, aka government-secured bonds. So I'm sure foreign markets are still willing to buy Chinese debt up. There's also the issue of looking at your competitors (USA, Japan, Germany, etc. etc.), and other market conditions (if everything is overvalued in the stock market, then people buy bonds because they see it as a "less bad deal").

Eventually, the pool of debt and money will stop. It is a finite resource.