An esteemed professor and economist pointed out that persistent inflation, the impending economic recession and an imminent insolvency crisis in the banking sector is leading the U.S. into a “doom loop.”
Nouriel Roubini, an erstwhile economic advisor to the Clinton administration, outlined his findings in a March 30 commentary titled “The Coming Doom Loop.” His piece published on Project Syndicate noted that to solve the decade-high inflation and provide liquidity support, “the only solution is a severe recession – and thus a broader debt crisis.” “A severe recession is the only thing that can temper price and wage inflation, but it will make the debt crisis more severe, and that in turn will feed back into an even deeper economic downturn,” wrote Roubini. Given that throwing more money into the economy will not prevent […]
Excerpt Sourced From: discern.tv
