Meet "Dr Doom" - Mr Nouriel Roubini - a professor at New York University (NYU)
Early 2008, when he talked about the "impending economy recession" that we're all too familiar with right now, his students thought that he was going cuckoo
Now, people all around the world wants to know what Nouriel Roubini has to say about the economy
I have to confess that I have been a bit of a Roubini New junkie, and that probably is one of the reasons why I have been a bit (unnecessarily) apprehensive about the current economy and banking institutions in New Zealand
For much of the 1990s, Roubini combined academic research and policy-making by teaching at Yale and then in New York, while also spending time at the International Monetary Fund, the Federal Reserve, World Bank and Bank of Israel. Currently, he is a professor at the Stern School of Business at New York University. He spent much of his time working on emerging-market blowouts in Asia and Latin America which helped him spot the looming disaster in the U.S. "I’ve been studying emerging markets for 20 years, and saw the same signs in the U.S. that I saw in them, which was that we were in a massive credit bubble," he said.
Roubini's take on Year 2009:-
At a conference in Dubai in January, 2009, he said, the U.S. banking system was "effectively insolvent." He added that the "systemic banking crisis.... The problems of Citi, Bank of America and others suggest the system is bankrupt. In Europe, it’s the same thing." To deal with this problem, he recommends that the U.S. government "do triage between banks that are illiquid and undercapitalized but solvent, and those that are insolvent. The insolvent ones you have to shut down." He adds, "We're in a war economy. You need command-economy allocation of credit to the real economy. Not enough is being done," he felt at the time.