Juggling Dynamite

Today we have ‘official’ reports that in Q1, China’s economy (the world’s second largest) slowed to a 7% annualized growth rate from Q1 2014, down more than 50% from its 14.2% peak rate in 2oo7, and the slowest year over year pace since the global recession in 2008-09 when it dipped to 6.6% in Q1 2009.

This has made some giddy about the prospects of even moar (!) ‘stimulus’ efforts from the government.  Trouble is, as in the rest of the developed world, Chinese stimulus spending since 2008 has already greatly degraded the nation’s balance sheet and monetary fire power.  The destabilizing effects of too much debt are already undermining the economy.

Economist George Magnus discusses the downside risks for China and the world amid mean reverting growth and bubble valuations in stock and real estate markets.

Also see: China charts scream 2009 all over again . Here is a sample…

Supply options are far wider today than in previous oil price declines, and this time, consumers are saving and paying debt, not spending fuel savings on other consumption.

The Conference Board Chief Economist Bart Van Ark discusses the impact of falling oil prices on global stability. Here is a direct video link.

As the status quo perversely festers on how to get oil prices higher once more, drought and shortages in the world’s most vital commodity-potable water–continue to spread largely ignored. See: A Long Drought on a Long River as the mighty Rio Grande slows to a trickle. Also see California’s water woes are priceless.

New research shows that children and teens on plant-based diets dropped weight and had improved blood pressure and cholesterol. When the Cleveland Clinic tested vegan diets on kids, it lowered their heart disease risk. But, a lot of teens who cut out meat end up becoming junk food vegetarians.  See:  Plant-based diet may benefit kids most. Here is a direct video link.