Are things getting better or worse in Europe? And is the US headed in the right direction? Nouriel Roubini says no.
Noted economist Nouriel Roubini, credited for predicted the financial crisis, made a plea to policymakers to take tough action needed to address current economic problems, in an article published on the Financial Times website.
"The euro zone has been in denial of the fact that some of its member states are insolvent, as well as unable to survive and grow in a monetary union," he wrote.
In the U.S., fiscal consolidation was postponed and other structural reforms — such as investment in infrastructure, skills, and education, as well as changes to energy policy, all measures needed to restore growth — were also postponed, Roubini wrote.
As for China, it has "persisted in its weak currency, to support its export and investment-led growth model where savings are too high and consumption too low," the economist, dubbed by some in the media as Dr. Doom for his gloomy scenarios, added.