is it wrong to mock my dog?

many of you have met and gotten to know my dog, jessie, who has subpar intelligence. ok...as far as i know, she isn't actually "stupid", but i like to tell her that she is every day. while dave and i find this type of mocking and ribbing endlessly funny and amusing, louise, playing the part of jessie's overprotective mother, is very much against this type of activity.

part of the reason i do this is, as described, it is funny to me, but it also partly because jessie is so babied and spoiled by louise, i figure this kind of evens things out. let's face it...i like to keep things real.
jessie is a dog, and due to this fact, she is not as smart as me and she cannot comprehend what i am saying, unless it's something like "i wish you were never born." so if i say something making fun of her intelligence, laziness, overall lack of fitness, bad licking habits or poor hygiene, she just thinks i am talking about what i am going to feed her next.
obviously i love my dog...more than i ever thought i would when we first got her 3 years ago. she is the perfect dog for me and people living in my house. she is very sweet-natured, always chillin and very low-maintenance. she does things that make me laugh all of the time. she can sense when i am sick and will try to make me feel better. i know if it ever came down to it, jessie would selflessly jump in to protect me. i really could not imagine a better dog than jessie.
with all of that in mind, i still like to explain to jessie that we could make another dog out of her excessive neck skin. i still call her dumb-dumb. i like to detail our plans of replacing her with a "good" dog. even though she doesn't smell (most of the time) i like to tell her that her odor is making people feel ill. i obviosly could go on.

i assume that this is harmless fun, but who knows? i assume she knows i love her and i also assume she doesn't understand what i am saying. beyond it being absurdly juvenille, are there any reasons i should take it down a notch? or squash it cold turkey?