In October 2006, Nouriel Roubini prophesied That the housing collapse in the United States could lead to recession and “hard landings” around the world. The economist known as “Doctor Doom” continued to warn of impending global threats for the next decade and a half.
In an interview with the editor-in-chief of Yahoo Finance on Monday for Top of all marketsRoubini outlined the imminent dangers around the world which he detailed in his new book, “MegaThreats: Ten dangerous trends that threaten our future, and how to survive them“. These dangers include what he calls Cold war between the United States and China Inflation accompanied by debt instability can become hot; climate change; Among other dangers.
“Right now, we are facing major major threats: monetary, social, political, geopolitical, environmental, health, commercial and technical,” said Roubini. “Unless we tackle it, we are headed for disaster.”
The economist spoke at length about the dangers of inflation, which rose by 8.2% On an annual basis in September – well above the Fed’s 2% target. Inflationary environment triggered memories of the so-called The Great Inflation of the 1970sresulting in inflation peaking at 14% in 1980. The so-called Great Moderation ensued, with prices relatively stable in the following decades.
“In the book, what I discovered is that the era of the Great Equinox, where growth was fine, and low inflation, 2%, is over,” Roubini told Yahoo Finance on Monday. “We are now on our way to the era of what I call the Great Stagflation [a stagnant economy combined with inflation] Debt instability and crises.
Because of his often grim look, Roubini is also known as “Dr. Death.” But Roubini says his book is a call to action against grave threats to the world.
“I usually say I’m the realist Dr., not Dr. Dom,” said Roubini. “I think the risk warning is very important because so far we’re kicking the can on the road.”
Dylan Kroll is a reporter and researcher at Yahoo Finance. Follow him on Twitter at Tweet embed.
“Lifelong food lover. Avid beeraholic. Zombie fanatic. Passionate travel practitioner.”