Roubini: Europe, You Have Zero Growth To Look Forward To
from Clusterstock by Gregory White
nouriel-roubini-020510Nouriel Roubini has issued a stark warning for the eurozone, calling for no growth in the region and perhaps even recession as it comes to grips with its various sovereign debt crises.
The real problem, according to Roubini, is a premature withdrawal from stimulus measures. That move, while motivated by a desire to curtail deficits, would also hurt growth and damage the recovery. Roubini said that the biggest threat from these measures would be Japanese-style deflation, not inflation.
The comments come just hours after the G20 decided to end coordinated global stimulus measures meant to prop up the world's economy, and instead focus on reducing deficits.