Friday, March 13, 2015
Those who feared Hyperinflation confused cause and effect
Economist Nouriel Roubini in a short, nine-minute video interview last month at the 2015 Middle East Investment Conference. argues that those who feared hyperinflation from unconventional monetary policies confused cause and effect. Policies like quantitative easing (QE) and zero-interest rates were implemented to prevent deflation and a “double-dip or triple-dip recession,” he said. The “doom-and-gloom” pessimists who anticipated the rise of gold and cryptocurrencies have been proven wrong, he noted. Gold is trading well below its highs and bitcoin was the worst performing currency in 2014, falling by nearly 60%.
Nouriel Roubini is an American professor of Economics at New York University`s Stern School of Business and chairman of RGE Roubini Global Economics