Economics and China

[kandrathe]

Redirect back to China, it's economy and how it impacts the world.

From the WSJ, (aka. the Holy Bible of Economics) -- China’s Economy Shows Further Signs of Fragility

"China’s economy decelerated to a 6.9% growth rate in the third quarter, its slowest since 2009 despite pro-growth efforts taken by Beijing to prop up the world’s second-largest economy."

I still sense some pain coming, which in the US, through Fed tricks, we might be able to stave off for a year until after the election. China's increased military encroachment in the South China Sea is probably a political maneuver to "wag the dog".



The difference between the price crash in 2008/9 compared to today is that our low price today is more likely to combination of more supply, and less demand. Whereas, in 2008/9 the price crash was evidence of the overheated economy breaking. Our low price now is a deflationary pressure.


Why oil prices keep falling — and throwing the world into turmoil
I wish it were due to conservation, but more likely oil prices are an indicator of the global economy.