Nouriel Roubini in an op-ed.
Roubini teaches at New York University's Stern School of Business and has earned the moniker 'Dr. Doom'. It may well be his time.
Main points:
- "During the Great Stagflation, both components of any traditional asset portfolio — long-term bonds and US and global equities — will suffer, potentially incurring massive losses,"
- Global economies carry larger debt ratios than before, setting up central banks for potential failure, Roubini said. "Central banks are thus locked in a 'debt trap': any attempt to normalize monetary policy will cause debt-servicing burdens to spike, leading to massive insolvencies, cascading financial crises, and fallout in the real economy,"
and here is a summary article more easily digestible.
