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Monday, September 26, 2016

The Return of Fiscal Policy By Nouriel Roubini


 NEW YORK – Since the global financial crisis of 2008, monetary policy has borne much of the burden of sustaining aggregate demand, boosting growth, and preventing deflation in developed economies. Fiscal policy, for its part, was constrained by large budget deficits and rising stocks of public debt, with many countries even implementing austerity to ensure debt sustainability. Eight years later, it is time to pass the baton.

 As the only game in town when it came to economic stimulus, central banks were driven to adopt increasingly unconventional monetary policies. They began by cutting interest rates to zero, and later introduced forward guidance, committing to keep policy rates at zero for a protracted period.

 In rapid succession, advanced-country central banks also launched quantitative easing (QE), purchasing massive volumes of long-term government securities to reduce their yields. They also initiated credit easing, or purchases of private assets to reduce the costs of private-sector borrowing. Most recently, some monetary authorities – including the European Central Bank, the Bank of Japan, and several other European central banks – have taken interest rates negative

 https://www.project-syndicate.org/commentary/shift-from-monetary-to-fiscal-policy-by-nouriel-roubini-2016-09










 Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics

Sunday, September 25, 2016

Roubini on Brexit


AMNC16 - Nouriel Roubini on Brexit
World Economic Forum











 Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics

Saturday, September 24, 2016

Nouriel Roubini's advice for the next British PM


AMNC16 - Nouriel Roubini's advice for the next British PM

Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics










 Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics

Friday, September 23, 2016

Nouriel Roubini : No Assets Bubble


Roubini on interest rates, US election

Nouriel Roubini, the economist who correctly predicted the 2008 stock market crash, spoke at length with CNBC on the potential risks of asset bubbles given the massive amounts of monetary stimulus that have been injected into the system by central banks around the globe. "I don't think we are in a bubble right now, but if you look at the price of many assets, they look kind of expensive," said Roubini, pointing to the levels of public and private equity, credit markets and real estate. "Across the board I don't see a bubble, but I see certainly some frothiness."





http://www.cnbc.com/2016/09/20/nouriel-roubini-on-interest-rates-us-election.html












 Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics

Friday, September 16, 2016

Roubini : Significant Upside In Gold Less Likely

http://www.kitco.com/news/2016-09-15/Signficant-Upside-In-Gold-Less-Likely-Nouriel-Roubini.html




“My personal view will be as follows: most likely the Fed will skip September because there’s an election coming and because the economic data being mixed,” the New York University professor said. “But you can expect the Fed is going to hike this year at least once in December.”


“Therefore, buying gold as a hedge against extreme tail risk in financial markets is probably not a likely scenario,” he said. “Now that other assets are offering capital gains and income, gold looks less appealing.”






Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics