Roubini: Slowdown Brings Forward New Financial Crisis

[marmar]

(Bloomberg) Nouriel Roubini, co-founder and chairman of Roubini Global Economics LLC, said the current slowdown in the world economy has brought forward the timing of a new financial crisis.

“I thought a few months ago that the perfect storm would be 2013,” Roubini said in an interview in London today. “But now, the economic weakness in the U.S., euro zone and the U.K. is front loaded. So we’re going to double dip earlier. The climax of it could be 2013, or it could be already earlier. It depends on what policy tools are available.”

Three years after the collapse of Lehman Brothers Holdings Inc., financial shares in Europe are under assault and the cost of insuring bank debt is at records as the global recovery falters and the euro-region crisis weighs on the economy. There’s a 60 percent probability that most advanced economies will fall into a recession, while authorities are running out of options to provide emergency support, said Roubini, also a professor at New York University’s Stern School of Business.

“You need to restore economic growth, not five years from now, you need to restore it today,” Roubini said. “In the short term, we need to do massive stimulus, otherwise there’s going to be another Great Depression. Things are getting worse and the big difference between now and a few years ago is that this time around we’re running out of policy bullets.” ............(more)

The complete piece is at: http://www.bloomberg.com/news/2011-09-06/roubini-says-global-economic-slowdown-accelerating-next-financial-crisis.html

[Fumesucker]

1. We are so far beyond fucked that the light from fucked won't reach us for ten billion years..

[ixion]

3. well said

and sadly, very true.

[Warren Stupidity]

2. The Idiots In Charge beg to differ...

what we need is Austerity so we can fire all those pesky gummint workers with their damn pensions and slice and dice all those inconvenient SS trust fund obligations into watered down versions of what people already paid for. After all, there are mini-mega-mansions in Darian that need an update, and Banksters who depend on their bonuses to pay for those updates. We have to have priorities.

[Fumesucker]

4. Prioritize, it's what he does..