[MCN] Reality check: The economy

[Lance Olsen]

"Policy and thinking must adapt to this reality. Start now."
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Financial Times October 13, 2015 4:40 pm

Solid growth is harder than blowing bubbles
Martin Wolf

Opening paragraph:
"It used to be said that when the US sneezed, the 
world economy caught a cold. This is still true. 
But now the world economy also catches a cold 
when China sneezes. It has lost its last 
significant credit-fuelled engine of demand. The 
result is almost certain to be a further boost to 
the global "savings glut" or, as Lawrence Summers 
calls it, 'secular stagnation' - the tendency for 
demand to be weak relative to potential supply. 
This has big implications for global economic 
risks."

Closing paragraph:
"The world has run out of large economies ready 
and willing to let lending and spending rip. This 
means that global demand may be still more feeble 
in the next few years. Policy and thinking must 
adapt to this reality. Start now."

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http://www.ft.com/cms/s/0/9bba6228-70d1-11e5-9b9e-690fdae72044.html#ixzz3oUsOV0mh



-- 
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"We have only one planet and the time has come to 
transform our present lifestyle and consumption 
patterns in order to halt the degradation of the 
Earth's natural capital ..."

From the Executive Summary, WWF:  China 
Ecological Footprint: Report 2012 : Consumption, 
production, and sustainability.

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"Š energy consumption in 1960 was about half what 
it is now [i.e., 1970] Š. Surely we had a 
civilized country then, with roads, electricity, 
entertainment, and so on. Š. Have we, by doubling 
our energy consumption, doubled our happiness?"

Kimon Valaskakis, Peter S. Sindell, J. Graham 
Smith, and Iris Fitzpatrick-Martin. The Conserver 
Society. 1970. Harper & Row.

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"The most painful and expensive way to deal with 
global climate change will be to ignore it until 
something happens that elicits powerful public 
demands for immediate and Draconian action."

Jonathan Lash.  "As the earth heats up. "  Journal of Commerce August 16, 1996.






















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