Roubini : China will see a significant slowdown in growth in 2012

Nouriel Roubini Bloomberg TV Interview 20 January 2012 : Nouriel Roubini talks about the outlook for the global economy and China-U.S. relations : I expect there is going to be a significant slowdown in growth (in China ) this year we are going to see it already in the Q1 numbers , if you look at the data , housing is deflating commercial real estate is deflating that's going to be dragged on growth and also their export growth is slowing down from 18 percent to 12 , only 5 percent to Eurozone -2 to Italy , so those two factors are going to slowdown growth .....

Roubini : Oil prices are going to go higher

Nouriel Roubini : “Most problems facing the global economy are not temporary or random,”
“energy and food insecurity aren’t going to go away.”
“Oil prices are going to go higher,” “This has not been a typical recession, it was a balance sheet crisis caused by too much leverage,” said Roubini, adding “studies suggest it could take up to a decade to reduce debts and deficits.” - Nouriel Roubini was a key speaker at Bloomberg Tradebook conference held in New York last Thursday.

The Canadian house prices could correct by 10 per cent

Nouriel Roubini : “If [a 10 per cent correction] were to occur, some pain would occur, but it [would be] manageable,” he said. “I don’t think that the bubble is so severe that you will have a real huge housing bust as long as the economy continues growing at reasonable rates.” - In an interview with The Huffington Post on Tuesday

Roubini Optimistic about the Canadian Economy

Nouriel Roubini : “The resource orientation of Canada is one the sources of its strength,” he said. “While there may be a slowdown in China, the forces that lead to demand for commodities being high and rising -- urbanization, industrialization, population growth, per capita income growth in emerging markets -- I don’t think they’re going to change even if there are some bumps down the road.” - In an interview with The Huffington Post on Tuesday

Roubini : Even Canada to Be Hurt by Europe Crisis

Nouriel Roubini : “Even Canada, which has had much better financial fundamentals, cannot fully decouple from Europe and the U.S.,”
“Canadian economic growth will be below potential because of economic headwinds from Europe and America.”
said Roubini, in a speech in Toronto yesterday. - via bloomberg

Roubini on The break up of the Eurozone

Nouriel Roubini : You have to assign probability to something disorderly happening in the Eurozone and you have to assign some probability to disorderly default and even a break up of the Eurozone not in the next six to eight months, but certainly over the next two or three years. If that break up of the Eurozone were to occur, the systemic effects of it could be much bigger than the disorderly default of Lehman Brothers in the fall of 2008. This is because Lehman Brothers was a $600 billion problem while the public debt of Italy and Spain alone are a 3 trillion euros or about 4 trillion dollars. Therefore, if there was a disorderly default by Italy and or Spain that will be a shock that will be systematically more important than even the disorderly collapse of the Lehman Brothers. I am not predicting that to happen in the next six to eight months, but you have a set of countries in the Eurozone, Greece, Ireland, Portugal, Italy and Spain of which each one of them with different probability could have a possible restructuring of their private and public debt. And one of them with different probability could eventually exit the Eurozone. If a combination of these events were to occur, the systematic facts on the global economy will be absolutely as severe or actually more severe than what happened in 2008. I am not saying that it is going to happen with probability 1, but you have to consider this is an important tail-risk that has a meaningful probability that would have a systematic effect on the global economy over the next few years.

Which Asset Classes Roubini recommends for 2012 ?

Nouriel Roubini : My global economic outlook is one in which while there will be economic growth, there are significant downside risks that imply risk of recession in the Eurozone, even the UK, slow economic growth in other advanced economies like the US and also slower economic growth compared to last year in most emerging markets. There is economic vulnerability with financial tail-risk and investors are going to remain risk averse. Therefore like last year global equities might move sideways without any clear trend. When risk is on, they might go higher, but when risk is going to be off, it is likely they are going to move downwards. Therefore, I do not see a significant outperformance of global equities in this environment. In this environment, commodities might also move sideways because while emerging markets are still growing robustly, economic growth in most advanced economies is going to be weak. Geopolitical risks in the Middle East like a potential confrontation within Israel, US and Iran could lead to a risk premium in oil prices. We are still in a world in which there are many tail-risks and therefore it is better to be a safe rather than sorry. An investor will be better off by investing into safe bonds of government and countries that do not have significant fiscal vulnerabilities or in companies that have very strong balance sheet in terms of having low debt leverage, high dividends. Companies that are multinational corporations both in advanced economies and emerging markets with sound balance sheets and sound P&Ls probably might outperform. We live in a world in which there will be lots of tail-risks and therefore being defensive in terms of global asset allocation and less exposed to a variety of risky assets, whether it is commodity or equities and being more exposed to things that are more liquid and safe, might be a strategy that minimizes some of the downside risks. - in ET Now

No Hard Landing, but a Slowdown of growth for China in 2012

Nouriel Roubini : I do not expect a hard landing, but a slowdown of growth for China in 2012. My view is more bearish than consensus. Chinese growth is going to be around 8% this year, much lower than what it has been in the last few years. There is a risk of hard lending, but that hard lending may materialize only in 2013 or 2014. There is a delicate political transition in China by November, to choose a new President and Premier and therefore China is going to do anything necessary to prevent the hard lending from occurring. The problem with China is that the growth model is not sustainable. It is based on net export growth. Fixed investment is now 50% of GDP, on high savings and with a very low level of consumption right now is only one-third of GDP. So unless China can consume more, save less, reduce net exports and fixed investments and make its growth more balanced eventually China could have a hard lending, but that is a 2013-2014 story. As far as India is concerned, there has been a slowdown of economic growth in the last few quarters. The economic data is mixed and this year growth might be only 7%. India is facing a variety of issues, fiscal deficit, current account deficit that has to be financed. The rupee has been weakening. Inflation until recently had been rising and more importantly there has been a policy stalemate. A number of structural reforms have to be undertaken in order to make sure that potential growth becomes higher so that India can grow faster without causing higher inflation. Owing to coalition politics, a wide range of important state elections coming up in the next few months, the policy has been essentially in a stalemate. Important economic and structural reforms that should be undertaken have been essentially stalled. That is not good news for accelerating economic growth over time.

The probability that Germany is going to accept aggressive monetary easing, a weaker Euro and a fiscal stimulus is very low

Nouriel Roubini : There have been baby steps taken in the Eurozone. The problem right now in the Eurozone is that there is a double dip recession. Not just in the periphery of the Eurozone, but the latest data from some parts of the core shows that there is a beginning of recession, rise in sovereign spreads in some parts of the core and banking problem even in the core of the Eurozone. Unless you restore economic growth, anything that you do in terms of fiscal austerity and reform is not going to be sufficient. Austerity in the short run makes the recession worse because you are raising tax and cutting government spending. In order to restore growth and, therefore, make the Eurozone viable and sustainable, you need a whole series of different policies. The ECB has to aggressively cut rates, do quantitative easing, credit easing. The ECB has to become a lender of last resort not just for the bank but for the sovereign. The value of the Euro has to fall another 20-30% and if the periphery of the Eurozone is going to engage in recessionary and depressionary fiscal austerity, Germany and core of the Eurozone should postpone their fiscal austerity and should do fiscal stimulus. The probability that Germany is going to accept aggressive monetary easing, a weaker Euro and a fiscal stimulus is very low. Therefore, the recession of the Eurozone is going to get worse and the fiscal and financial problems of the Eurozone are going to get worse rather than getting better.

The fiscal, sovereign , financial and banking strains in the Eurozone are going to remain severe

Nouriel Roubini : The problem is that the ECB is going to do more to backstop the banks and the financial system, but for a number of legal and institutional reasons, the European Central Bank is not going to become a last resort lender for the sovereigns. Unlike the Federal Reserve where there is a dual mandate, growth, inflation and financial stability, the ECB has only one mandate, that of price stability. There are legal and institutional constraints in the willingness and ability of the ECB to play a greater role. Yes, they are going to play a greater role, but the fiscal, sovereign and financial and banking strains in the Eurozone are going to remain severe. There is going to be only partial willingness of the ECB to address them.

In the Eurozone sovereign and banking risks are highly interrelated with each other

Nouriel Roubini : In the Eurozone sovereign and banking risks are highly interrelated with each other. The banking risk became sovereign when the banks were bailed out, but now sovereign risk has become a banking risk because a large part of the public debt is held by the banking system. Right now there is a credit crunch and this credit crunch is becoming more severe because banks do not have enough capital, liquidity and have to reduce their leverage by essentially reducing credit and disintermediating. That's going to create more credit crunch. ECB is not a last resort for the sovereign, but has been increasingly playing a role of lender of last resort for their financial system. Without the liquidity support by the ECB, the credit crunch, deleveraging and the run on the banks will become even more severe. - in ET Now

The Economic Growth to remain anaemic in the United States in 2012

Nouriel Roubini : Good news is going to be temporary. In terms of some of macro data, the US has been better than expected, but economic growth in the US is going to be anaemic this year. Subpar below trend, at best 1.5% growth year over year for a number of reasons. First of all, the problems of the Eurozone and through trade and financial links, those are going to slow down economic growth in the United States. Secondly, there will be a significant fiscal drag in the United States this year because of the gridlock in Congress. Thirdly, since domestic demand is going to be weak because of private and public sector deleveraging, the way that the US could grow faster is by an improvement in net exports. However, trade balance is not going to improve because growth is slowing down in the rest of the world and Europe. That's going to be bad for US exports. Also, the dollar is going to be stronger and not weaker and that's going to worsen the US trade balance. Oil and energy prices are going to remain high because of geopolitical risks in the Middle East and, therefore, the oil import bill for the US is not going to improve. Therefore, the net exports of the US are not going to improve and that's going to be another factor that's going to be a source of economic weakness. Finally the US consumer is still very challenged both income-wise, wealth-wise and debt-wise. Income is not growing very much because the labour market is improving only weakly. The wealth has been sluggish because equity market has been flat and housing prices have been falling. The US consumer still has a huge amount of debt and debt servicing. The cost of deleveraging of the US consumer has been just postponed. All these factors suggest that economic growth is going to remain anaemic in the United States in the next few quarters. - in ET Now

Roubini : Overall Bullish on The US Dollar

Nouriel Roubini : US dollar tends to strengthen when there are periods of risk off and risk aversion in the global economy. When there are episodes of risk aversion deriving from trouble in the Eurozone or geopolitical risk, people tend to dump emerging market currencies, euro and seek safety of the US dollar, US treasuries. This is not because economic, financial and fiscal conditions in the US are very good, but the US is the least ugly in a contest where the issue is not who is the prettiest or more handsome, but who is the least ugly. That overall might be bullish for the US dollar again, not because things are great in the United States, but just because in relative terms, they are worse in other parts of the world.

Euro should fall to parity with the Dollar for EU nations to survive

Nouriel Roubini : Given the economic and financial difficulties of the Eurozone, the euro should be weakening. There is a sovereign risk, risk of a break up. The European central bank is easing monetary policy while the FED for the time being is on hold. On a fundamental basis while Germany can live away with the euro at current level because it is over competitive, the countries in the periphery of the Eurozone left to a chance to survive in the Eurozone have to have a much weaker value of the euro. The euro should be falling on a fundamental basis towards a parity with the US dollar to give a fighting chance for Greece, Ireland, Portugal, Italy and Spain to survive in the Eurozone. In the next few months as these economic and financial difficulties of the Eurozone are going to become more exacerbated and the policy solutions are going to be limited, then the euro is going to weaken relative to the US dollar.

Roubini : India Better Than Other BRIC Nations

Nouriel Roubini : India is “better placed” in BRIC nations as Brazil faces slowing growth, Russia’s economy isn’t “well diversified” and China’s model is being “challenged,”
“In relative terms, India is actually positioned well,” Nouriel Roubini said in an interview with Bloomberg UTV

Roubini : No Eurozone break-up in 2012

Economist Nouriel Roubini interviewed by the Indian TV ET Now this 11 January 2012

Nouriel Roubini : The economic and financial conditions of the Eurozone are very severe. Germany and France cannot impose their will on all the other countries because the decision of the Eurozone had been taken by consensus. The trouble with the Eurozone right now is that you have severe stock imbalances, large stocks of public debt, liabilities of their financial system and flow problems. There has been the loss of competitiveness at the periphery of the Eurozone. There are large external imbalances and all the policies that the Europeans are pursuing right now, fiscal austerity are going to make the recession in the Eurozone worse. Not just Greece, but a number of other countries over the next couple of years will have to restructure their public debt and private ones in a coercive way. I also expect that one or more members of the Eurozone will eventually exit the Eurozone. If it is a small Greece exiting, that can be managed. If eventually it were an Italy or Spain having to exit, that would effectively be a break up of the Eurozone. So of all the sources of systemic risk in the global economy, certainly the problems of the Eurozone are the most severe.

Nouriel Roubini in India

Nouriel Roubini is in India "I arrived to New Delhi for policy, private sector and media meetings and to visit the new RGE office in India where a dozen economists work" he wrote in a twitter message announcing his arrival to New Delhi

The emergence of income and wealth disparities is rapidly growing

Nouriel Roubini wrote in a recent article " Of course, the malaise that so many people feel cannot be reduced to one factor. For example, the rise in inequality has many causes: the addition of 2.3 billion Chinese and Indians to the global labor force, which is reducing the jobs and wages of unskilled blue-collar and off-shorable white-collar workers in advanced economies; skill-biased technological change; winner-take-all effects; early emergence of income and wealth disparities in rapidly growing, previously low-income economies; and less progressive taxation." - in project-syndicate

The Swiss Franc to suffer from The Hungarian mortgages Crisis

Nouriel Roubini : "Collateral damage to Swiss Franc linked Hungarian mortgages @lindayueh: #Hungary forint hits new record for 3rd day against euro:321.6 +1.3%" wrote professor Nouriel Roubini in a twitter message directly from old Europe where he is now , "In 2012 hungary may have a financing gap as large as 10% of GDP putting pressure on reserves and currency" he added in another twitter message

Roubini : Ireland economy is clearly double-dipping

"Ireland is clearly double dipping : Irish Services PMI falls to 48.4 in Dec down from 52.7 in Nov, lowest level since Dec '10" wrote economics professor Nouriel Roubini in a twitter message from Germany where he is giving a speech on the 2012 global economic outlook . The EuroZone is falling into a recession and the core EuroZone is not immune from it he explained in another twitter message

A perfect storm of By 2013

"It will become clear in 2012 that this game of `kicking the can down the road` is a zero-sum game," Professor Nouriel Roubini wrote in a recent article "will make it more difficult to kick the can down the road," Roubini predicted. "By 2013 at the latest, but possibly already in 2012, a perfect storm of a double-dip recession in the U.S., a disorderly scenario in the euro zone and a hard landing in China could materialize," He added

Greece in free fall: moving from Recession to Depression

Nouriel Roubini : "Greece in free fall: moving from recession to depression @pdacosta: TABLE-Greek Oct retail sales drop 10.8 pct y/y " said economist Nouriel Roubini in a recent twitter message quoting a Reuters article stating that "Greek retail sales by volume fell 10.8 percent year-on-year in October with the slump picking up after a 6.5 percent drop in September, statistics service (ELSTAT) "

Nouriel Roubini on Brazil

Nouriel Roubini on The Next Big Idea : Nouriel Roubini is a Turkish economist of Jewish Iranian origin, he is a professor at the Stern School of Business, University of New York since 2009. Roubini said in 2005 that "housing prices were at the top of a speculative bubble that would soon sink the economy. At that time, he was called" Dr. Doom. "Now, he is considered one of the top economists out there .

Roubini sees threat of 2012 collapse in Hungary

Nouriel Roubini : "The government’s insistence on its unorthodox policy mix, together with an ill-founded hope that international lenders will eventually drop their provisions, will keep IMF loan talks on the backburner in the near term," - in portfolio.hu

Nouriel Roubini vs. Ron Paul

"Ron Paul: appealing to black helicopter paranoids, white supremacists, gold standard freaks, laissez faire wackos, antisemites and racists" says Nouriel Roubini in a twitter message "NYT: many Ron Paul supporters are white-supremacists, anti-semites, racists and gold bugs blaming "jewish bankers" and the Fed for all evil" he added in another message "He is an hypocrite NYT: Ron Paul Disowns Extremists' Views but Doesnt Disavow the Support " he explained in another message , obviously Nouriel Roubini is not fan of Ron Paul and his followers as much as he is not a fan of the gold bugs

a perfect storm of a double-dip recession in the U.S. By 2013

Nouriel Roubini : "It will become clear in 2012 that this game of `kicking the can down the road` is a zero-sum game," he wrote in an article published on the Financial Times website "By 2013 at the latest, but possibly already in 2012, a perfect storm of a double-dip recession in the U.S., a disorderly scenario in the euro zone and a hard landing in China could materialize," he added - via CNBC

Initial estimate of GDP systematically biased up

The Initial estimate of GDP systematically biased up says Nouriel Roubini in a recent twitter message , "Q1 (Q3) growh initially estimated at 1.5% (2.5) then sharply revised downward to 0.4% (1.8).Initial estimate of GDP systematically biased up" "As we expected Q3 growth estimate down to 1.8% on much lower discretionary service spending. This is a bias in all initial GDP estimates" he added "Upward biases in initial GDP estimates: consumption of discretionary services; sample of large producers & retailers while SME are slumping" he explained

Nouriel Roubini : Double-Dip Recession in the US by 2013

"By 2013 at the latest, but possibly already in 2012, a perfect storm of a double-dip recession in the U.S., a disorderly scenario in the euro zone and a hard landing in China could materialize," Dr. Nouriel Roubini wrote in an article published on the Financial Times "It will become clear in 2012 that this game of 'kicking the can down the road' is a zero-sum game," He explained "The euro zone has been in denial of the fact that some of its member states are insolvent, as well as unable to survive and grow in a monetary union," He added

The Eurozone in denial

Nouriel Roubini :  "The euro zone has been in denial of the fact that some of its member states are insolvent, as well as unable to survive and grow in a monetary union," - via CNBC

2012 Gloomy Outlook Worldwide

Nouriel Roubini : "....recession in Europe, anemic growth at best in the United States, and a sharp slowdown in China and in most emerging-market economies. Asian economies are exposed to China. Latin America is exposed to lower commodity prices (as both China and the advanced economies slow). Central and Eastern Europe are exposed to the eurozone. And turmoil in the Middle East is causing serious economic risks – both there and elsewhere – as geopolitical risk remains high and thus high oil prices will constrain global growth...." - in project syndicate

Roubini 2012 Outlook : a Bumpy Ride worldwide

Roubini 2012 Outlook Overview: Euro Zone in deep recession; US at stall speed with 50% double dip risk; China sharp slowdown : In his Project Syndicate column entitled The Global Economy Will be "Fragile and Unbalanced in 2012" doctor Nouriel Roubini wrote that "The outlook for the global economy in 2012 is clear, but it isn’t pretty: recession in Europe, anemic growth at best in the United States, and a sharp slowdown in China and in most emerging-market economies," RGE also predict US growth very anemic at 1.4% in 2012 in baseline scenario. But 50% probability of a double dip , and Euro Zone in a deep recession in 2012. Getting worse because of fiscal austerity and China in sharp slowdown but also a Sharper Slowdown Ahead in 2012 for Turkey so 2012 is going to be a Bumpy Ride worldwide worldwide

Nouriel Roubini speech at the Estoril Conferences Portugal

Professor Nouriel Roubini speech at the Estoril Conferences ( Portugal ) under the title : Global Challenges local Answers . Nouriel Roubini talks about globalization the financial and economic challenges in the world today especially the debt problems in the Eurozone and many other issues , later on Professor Roubini answers the audience questions , the Roubini speech starts at around 04:00 in the video.....

Roubini: Goodbye China, hello Indonesia

In an article on the Financial Times dated October 25, 2011 entitled " Goodbye China, hello Indonesia " Professor Nouriel Roubini was very bullish about the Indonesian economy which has low inflation, low debt, young demographics and accelerating growth unlike China which heading for a hard landing , Finally Fitch Ratings has upgraded Indonesia’s long-term, foreign and local, currency issuer default ratings to investment grade (to ‘BBB-’ from ‘BB+’) a move that has Nouriel Roubini’s blessing as he wrote himself in a twitter message "Indeed Indonesia deserves that investment grade rating @ChrisAdamsMKTS: In a move that will get @nouriel blessing " he wrote .....

Mafia Banks & Economic Crisis with Roberto Saviano & Nouriel Roubini: Two Perspectives on the Crisis

New York University's Department of Italian Studies Casa Italiana Zerilli-Marimò Global and Joint Program Studies at the Arthur L. Carter Journalism Institute present "Italy and the U.S. Two Perspectives on the Crisis" Featuring: Roberto Saviano and Nouriel Roubini Moderated by: Ruth Ben-Ghiat, Chair, NYU Department of Italian Studies

Roberto Saviano : "We Italians have the best law, the best anti-mafia law in the world and we have taught the world anti-mafia methods. As of today, the majority of the world's most important consultations in anti-mafia matters go through Italy. The investigations we have reported have a lot to do with the Italian approach, with Giovanni Falcone's method, for example. This is how Italians get rid of the unbearable prejudice they are victims of. By talking about it not by hiding it. Not by getting mad at Tony Soprano or Scorsese, but by communicating and showing what Italian history has been, how many victims there have been in order to tell all this. "

Roubini : Eurozone Recession deepening

Professor Nouriel Roubini wrote in a recent twitter message that the Euro Zone recession is deepening now that the summit solved little to nothing "EZ PIIGS spreads widening again now that markets realize that the summit solved little or nothing while EZ recession deepening" he wrote and he predicts to see more recession and a possible French AAA rating downgrade "EZ fiscal compact means that both periphery & core will front-load even more recessionary & deflationary fiscal austerity. Markets noticing" he adds in another message

Nouriel Roubini speech @ The New America Foundation - 08 Dec 2011

Under the title : U.S. Economy at Risk: What Can Be Done? Professor Nouriel Roubini gave a very informative speech at The New America Foundation in Washington DC , other speekers and Participants are , Liaquat Ahamed Author, Lords of Finance: The Bankers Who Broke the World Daniel Alpert Managing Partner, Westwood Capital Bruce Bartlett Columnist, The Fiscal Times Leo Hindery, Jr. Managing Partner, InterMedia Partners Robert Hockett Professor of Law, Cornell University Consultant, New York Federal Reserve Nouriel Roubini Chairman, Roubini Global Economics

Nouriel Roubini on the FP 100 Top Global Leaders of 2011

Professor Nouriel Roubini was ranked 30th amongst the Financial policy 100 top global thinkers of 2011 "Rarely has some1 done so well predicting the world." commented about it in one of his tweets

Eurozone & UK in Recession - US at risk of Recession

"EZ in recession; UK headed to recession; US at recession risk given weak growth, fiscal drag, EZ shocks, housing, oil; China slowing sharply," Professor Nouriel Roubini wrote in one of his many tweets on the Twitter .

Germany Outlook: Stagnation in 2012, Recession in 2013

Nouriel Roubini and RGE forecast a Stagnation in Germany during 2012 and a Recession for 2013 .....Roubini also says that Italy’s public debt is unsustainable that the Mario Monti package: fiscal adjustment is significant but what will it restore growth? he asks and that the Eurozone is already in Recession.....

China Hard Landing as predicted by Nouriel Roubini

China hard Landing is happening as was predicted by Professor Nouriel Roubini/RGE in a WSJ article "Indeed RGE/myself have predicted the coming China hard landing China's Hard Landing http://on.wsj.com/teN4LJ " Roubini reminds us via twitter
One must remember that while China was putting in all of these underutilized projects, they helped commodities to soar. I think that bubble is about to burst too.

Roubini : Time To Go To Plan B On Italy

Nouriel Roubini : "If, as appears likely, Italy remains stuck in an uncompetitive recession and is unable to regain market access in the next twelve months, then even if such large official resources were mobilised, they would be wasted on financing investors’ exit and thus postponing an inevitable debt restructuring that would then be more disorderly." - via Business Insider

Roubini : Inequality is sharply rising in America

Professor Nouriel Roubini noted that Inequality is sharply rising in America , he wrote in a twitter message : "Based on Q3 data labor share of income has collapsed to an all time low of 57.1%. Average before 2000 was 63.9%.Inequality is sharply rising"

Roubini : The Eurozone PIIGS need a weaker Euro

Professor Nouriel Roubini said in a twitter message that the Eurozone PIIGS need a weaker Euro not a stronger Euro in order to restore their competitevness " EZ's PIIGS need a weaker, not stronger €, to restore their competitiveness & avoid EZ break-up. But CBs swaps action today makes € stronger " he wrote - via twitter

Roubini: Italy Debt Must Be Restructured

Nouriel Roubini: "Soon real rates will be higher and growth negative. Moreover, the austerity that the European Central Bank and Germany are imposing on Italy will turn recession into depression,"
"The government is born wounded and weakened, as Mr Berlusconi can pull the plug on it at any time," He added - in CNBC

Spain wont be able to stay in The Eurozone says RGE

"Spain can implement the austerity measures that they'll announce and they can implement structural reforms but if the end game is to stay in the euro zone, no I don't think they can achieve that." Megan Greene, senior research analyst at Roubini Global Economics, told CNBC, " there is still a lot of uncertainty but in top of that they are going to have to implement austerity measures which is going to undermine growth " she added

Roubini : Euro/Dollar should be 1.0 or lower

Nouriel Roubini : "Euro/$ should be 1.0 or lower to give EZ PIIGS a fighting chance to restore competitiveness & avoid a depression.Still 30% away from that" Roubini wrote in twitter , "In 2002 when there was no risk of sovereign debt crisis or EZ break-up €/$ fell well below parity to 0.82.So we are still 50% away from that" he added

Roubini : We have effectively Zero Growth

Nouriel Roubini : "If the economy is growing only 1.5 percent to 2 percent and you get a fiscal drag of 1.3 percent — that's the difference between a growth recession and effectively zero growth,"

Roubini : Supporters of a Gold Standard Are Lunatics and Hacks

"we are never going to go back to the Gold Standard " "this idea of a a gold standard is pushed every other day by these gold bugs is not even a theory it's a theology " says Economics Professor Roubini who sees the gold standard as dangerous. In fact, he said, the gold standard was a major reason for the Great Depression. "One of the major causes of the Great Depression was the existence of the gold standard and the return to the gold standard after World War I - that they restrained the ability of central banks to provide lender of last resort support to their banks created tight money, it created bank runs, and lead eventually to the Great Depression,"

Roubini on the global climate change & the Emerging markets impact

Professor Nouriel Roubini on the margin of the CRO Assembly 2011 was asked about the Emerging markets growth and its impact on the global climate change : The Emerging markets as we know are urbanizing they are industrializing they are increasing per capita income and population so they are demanding more resources , more water more energy more oil more food more raw materials and those demands of course can affect global climate change .... certainly they have an impact on the environment ......

50% probability of Eurozone breakup within 2-to-3 years

Professor Nouriel Roubini said in an interview today with Yahoo Tech Ticker that there is at least a 50% probability of a breakup of the eurozone in the next 2-to-3 years, which would almost certainly lead to a fast-motion train wreck. Click Here to watch the Full Interview>>>>