The world economy is slowing down and the authorities are fretting. Japan, Italy, and Greece are all in recession. China is slowing down according to official statistics, and even more according to whispered accounts. Germany, France and the Netherlands are all at stall speed. According to the BLS, the United States is doing just great at nearly 4% growth for two straight quarters, but you wouldn’t know that either from the quality of the few jobs being created (which is low) or from consumer spending (also low). The worry, as always, has nothing to do with the central banks’ concern for you, your job, your children, the actual prices you pay, wealth equality, or the future, and everything to do with the simple fact that the stability of the banking system absolutely depends on a steady stream of new loans. The problem, as always, is that […]