{"id":67423,"date":"2024-04-20T17:56:15","date_gmt":"2024-04-20T22:56:15","guid":{"rendered":"https:\/\/olduvai.ca\/?p=67423"},"modified":"2024-04-20T17:56:15","modified_gmt":"2024-04-20T22:56:15","slug":"the-worlds-economic-myths-are-hitting-limits","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=67423","title":{"rendered":"The world\u2019s economic myths are hitting limits"},"content":{"rendered":"

The world\u2019s economic myths are hitting limits<\/a><\/h3>\n
\n

There are many myths about energy and the economy. In this post I explore the situation surrounding some of these myths. My analysis strongly suggests that the transition to a new Green Economy is not progressing as well as hoped. Green energy planners have missed the point that our physics-based economy favors low-cost producers. In fact, the US and EU may not be far from an economic downturn because subsidized green approaches are not truly low-cost.<\/p>\n

[1] The Chinese people have long believed that the safest place to store savings is in empty condominium apartments, but this approach is no longer working.<\/strong><\/p>\n

The focus on ownership of condominium homes is beginning to unwind, with huge repercussions for the Chinese economy. In March, new home prices\u00a0in China declined by 2.2%<\/a>, compared to a year earlier. Property sales\u00a0fell by 20.5%\u00a0<\/a>in the first quarter of 2024 compared to the same period a year ago, and new construction starts measured by floor area fell by 27.8%. Overall property investment in China fell by 9.5% in the first quarter of 2024. No one is expecting a fast rebound. The Chinese seem to be shifting their workforce from construction to manufacturing, but this creates different issues for the world economy, which I describe in Section [6].<\/p>\n

[2] We have been told that Electric Vehicles (EVs) are the way of the future, but the\u00a0rate of growth is slowing<\/a>.<\/strong><\/p>\n

In the US, the rate of growth was only 3.3% in the first quarter of 2024, compared to 47% one year ago. Tesla has made headlines, saying that it is\u00a0laying off 10%<\/a>\u00a0of its staff. It also recently reported that it is\u00a0delaying deliveries<\/a>\u00a0of its cybertruck. A big issue is the high prices of EVs; another is the lack of charging infrastructure. If EV sales are to truly expand, they will need both lower prices and much better charging infrastructure.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The world\u2019s economic myths are hitting limits There are many myths about energy and the economy. In this post I explore the situation surrounding some of these myths. My analysis strongly suggests that the transition to a new Green Economy is not progressing as well as hoped. Green energy planners have missed the point that […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[1233,391,485,1180,1232,4514],"class_list":["post-67423","post","type-post","status-publish","format-standard","hentry","category-economics","tag-gail-tverberg","tag-growth","tag-limits-to-growth","tag-myths","tag-our-finite-world","tag-perpetual-growth"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/67423","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=67423"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/67423\/revisions"}],"predecessor-version":[{"id":67424,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/67423\/revisions\/67424"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=67423"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=67423"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=67423"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}