Low Tire = Smaller Circumference.......?

Not correct. The pressure is stretching the tire and the cords it’s made of. Ever tune a guitar? You’re stretching wires as you do it. And a tank tread, if laid out flat and pulled, will stretch. All materials stretch to some degree when put under tension. Not a lot, but they do.

p.s. - please keep the discussions in one place, it’s easier to follow them that way.

p.p.s. - I just did a rough calculation, and the tread on a typical tire is under 6,000 to 8,000 pounds of tension due to the inflation pressure (assumed 30 psi), so there’s plenty of force available to slightly stretch the tire.