Update On New Realities for Global Investors

Hey, I think I recall making some, not quite predictions, but observations as to the new reality that investors particularly (but by no means exclusively) ought to pay attention to.

One had something to with broke and uncompetitive countries abandoning expensive and inefficient climate change policies in favor of energy that works and bolsters competitiveness.  Yeah, something like that.

Global Warming Is Dead - From a policy perspective that is.  The climate will do what it does but there ain't gonna be a re-ordering of the global economy cooked up by the warmists.  If you've been scared out of energy investments by the incessant bleating of global warmists, you've got to get back in.  The world needs energy and it can't afford phony energy, so get invested in energy that works.  So don't invest in solar or wind or any of that garbage (if any of it does turn out to actually work, the Exxons of the world will wind up owning it ultimately anyway).  Furthermore, those in thrall to the religion of climate change will wake up; expect Europe to drastically improve its competitiveness by jettisoning decades of wrong-headed warmist policy.

Now there is this.

The EU's reputation as a model of environmental responsibility may soon be history. The European Commission wants to forgo ambitious climate protection goals and pave the way for fracking -- jeopardizing Germany's touted energy revolution in the process. 

I also observed this.

The Future Does Not Belong to China - China will do fine, but they will have major challenges and multiple hiccups on the way from a cheap labor, export driven economy to a domestic consumption economy.  Also, to believe that the future is Chinese, you need to believe that something like 250,000 elderly communists can successfully plan and manage an $8.4 trillion economy for the benefit of 1.3 trillion people.  No way.  If leadership doesn't screw it up, China will grow acceptably but always be an economic follower.  If they screw it up, well, China explodes.  Heads China loses, tails they tie.  Bad bet.

Now there is this.

Is China's Historic Credit Bubble About to Pop?

In five years, China's shadow banks have increased credit from 120 to 190 percent of GDP—a bigger run-up than the U.S. housing bubble. 

Intriguing.