Gold Standard 2.0 Will Get Us Great Depression 2.0

The return to the Gold Standard caused the Great Depression. Now some gold bug lunatics want Gold Standard 2.0 to get us Great Depression 2.0. - in Nouriel`s Official Twitter

Related ETF, SPDR Gold Trust ETF (GLD)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Reduced Probability That Obama Job Plan Will Pass

Automatic spending cuts in '13. But SuperCommitte collapse also reduces probability that Obama job plan passes. Thus large fiscal drag in '12. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Emerging Markets Cannot Fully Decouple

Related ETF, iShares MSCI Emerging Markets Index ETF (EEM)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

The euro-zone crisis seems to be reaching its climax

The euro-zone crisis seems to be reaching its climax, with Greece on the verge of default and an inglorious exit from the monetary union, and now Italy on the verge of losing market access. But the euro zone’s problems are much deeper. They are structural and they severely affect at least four other economies: Ireland, Portugal, Cyprus and Spain.

For the past decade, the PIIGS (Portugal, Ireland, Italy, Greece, and Spain) were the euro zone’s consumers of first and last resort, spending more than their income and running ever-larger current-account deficits. Meanwhile, the euro-zone core (Germany, the Netherlands, Austria and France) comprised the producers of first and last resort, spending below their incomes and running ever-larger current-account surpluses.

These external imbalances were also driven by the euro’s strength since 2002, and by the divergence in real exchange rates and competitiveness within the euro zone. - in www.businessday.co.za

Etfs, iShares MSCI Spain Index ETF (EWP), iShares MSCI Germany Index Fund ETF (EWG), iShares MSCI Italy Index ETF (EWI), iShares MSCI Netherlands Investable ETF (EWN)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Spain Is As Much Of A Disaster As Italy

Well right now, the worries in the market are about Italy, but Spain is as much of a disaster as Italy. There debt as a share of GDP is lower, but their deficit is higher. Unemployment, 20 percent including young people, 40 percent. - in a recent interview, Moscow

Related ETfs, iShares MSCI Italy Index ETF (EWI), iShares MSCI Spain Index ETF (EWP)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Details On The Empire State Index Are Not So Good

Empire State index headline higher but details are much weaker and point to a lower ISM. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

German Schizophrenia

German schizophrenia on the European Central Bank as a lender of last resort: Weidemann says no way; government adviser says it may be only option; law professor suing ECB as SMP illegal. - in Nouriel`s Official Twitter

ETFs, iShares MSCI Germany Index Fund ETF (EWG)

Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

The ECB Made Huge Policy Mistakes In 2008 And 2011

The European Central Bank made major policy mistakes in 2008 and 2011 hiking rates while Eurozone was falling in recession and in financial/fiscal crises, exacerbating them. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Italy: Stock And Flow Problems

Given that it is too-big-to-fail but also too-big-to-save, this could lead to a forced restructuring of its public debt. That would partially address its 'stock' problem of large and unsustainable debt but it would not resolve its 'flow' problem, a large current account deficit, lack of external competitiveness and a worsening plunge in gross domestic product and economic activity.

To resolve the latter, Italy may, like other periphery countries, need to exit the monetary union and go back to a national currency, thus triggering an effective break-up of the eurozone.

Even a restructuring of the debt – that will cause significant damage and losses to creditors in Italy and abroad – will not restore growth and competitiveness...if you cannot devalue, or grow, or deflate to a real depreciation, the only option left will end up being to give up on the euro and to go back to the lira and other national currencies. - in FT.com

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Italy: If You Cannot Devalue Or Grow, The Only Option Is To Give Up On The Euro

So if you cannot devalue, or grow, or deflate to a real depreciation, the only option left will end up being to give up on the euro and to go back to the lira and other national currencies. Of course that will trigger a forced conversion of euro debts into new national currency debts. - in forbes

Related stocks and ETFs, Ishares Msci Italy Index (EWI), Intesa Sanpaolo SpA (BIT:ISP), UniCredit SpA (BIT:UCG), Banca Popolare di Milano (BIT:PMI)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

End Game For The Eurozone

It will be soon an end-game for the Eurozone: restructurings and exits till break-up. Slow motion train wreck. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Eurozone Crisis: Here Are the Options, Now Choose

You can read the article in full here, Eurozone Crisis: Here Are the Options, Now Choose

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Greece: It`s Time For The Country To Default And Exit The Eurozone

Greece is insolvent, uncompetitive and stuck in an ever-deepening depression, exacerbated by harsh and excessive fiscal consolidation. It is time for the country to default in an orderly manner on its public debt, exit the eurozone (EZ) and return to the drachma to rapidly restore solvency, competitiveness and growth.

Exit will require a conversion of euro liabilities into the new currency to limit the balance sheet effects that the depreciation of the new national currency will entail. - in EconoMonitor

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

The International Experience Of “Internal Devaluations” Is Mostly One Of Failure

The international experience of “internal devaluations” is mostly one of failure. Argentina tried the deflation route to a real depreciation and, after three years of an ever-deepening recession/depression, it defaulted and exited its currency board peg.

The case of Latvia’s “successful” internal devaluation is not a model for the EZ periphery: Output fell by 20% and unemployment surged to 20%; the public debt was—unlike in the EZ periphery—negligible as a percentage of GDP and thus a small amount of official finance—a few billion euros—was enough to backstop the country without the massive balance-sheet effects of deflation; and the willingness of the policy makers to sweat blood and tears to avoid falling into the arms of the “Russian bear” was, for a while, unlimited (as opposed to the EZ periphery’s unwillingness to give up altogether its fiscal independence to Germany); and even after devaluation and default was avoided, the current backlash against such draconian adjustment is now very serious and risks undermining such efforts (while, equivalently, the social and political backlash against recessionary austerity is coming to a boil in the Eurozone periphery). - in The New York Times

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Italy Needs A Respected And Competent Leader

Replacing Berlusconi with one of his servile lackeys is unacceptable. Italy needs a credible government run by a respected and competent leader. - in Nouriel`s Official Twitter

Related: iShares MSCI Italy Index ETF (EWI)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Italy Needs Growth To Be Sustainable

Italy, like rest of Eurozone periphery, needs rapid return to growth to be sustainable. Necessary austerity/reforms alone make recession worse in the short term. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Greek Politics: New Democracy Wants To Run The Country Again

The corrupt (New Democracy) who ramped up fiscal deficits to 15 percent of GDP and shamlessly lied about it now want to run Greece's government again. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Europe: Outlook Is Very Bearish

Our view is very bearish. Europe is a slow motion train wreck and there's a significant risk of a Eurozone breakup. - in Business Insider

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

G20 Meeting: Kicking The Cannes Down The Road

G20: Kicking the Cannes down the road until hits a brick wall. United States kicks the deficit can; Eurozone kicks the crisis can and China kicks the currency can. - in Nouriel`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

China Must Grow At 8% A Year To Maintain Social And Political Stability

He says China must expand 8 percent a year just to keep enough people employed to "maintain its social and political stability. - in FDL Reporter

Ticker, iShares FTSE/Xinhua China 25 Index ETF (FXI)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

ECB Interest Rate Cut: Unexpected But Correct And Necessary

Draghi starts his term making a first, unexpected but correct and necessary, step: cutting the ECB policy rate to 1.25 percent from 1.5 percent. - in NR`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Greek Referendum Makes A Disorderly Eurozone Crisis More Likely

Greek referendum makes Scenario 3 in the RGE paper more likely: a disorderly Eurozone crisis before Spain and Italy are ring fenced. - in Nouriel`s Official Twitter

Tickers, Ishares MSCI Italy Index ETF (EWI), iShares MSCI Spain Index ETF (EWS)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Greece Should Default and Abandon the Euro

- Greece is insolvent, uncompetitive and stuck in an ever-deepening depression, exacerbated by harsh and excessive fiscal consolidation. It is time for the country to default in an orderly manner on its public debt, exit the eurozone (EZ) and return to the drachma to rapidly restore solvency, competitiveness and growth.

- Exit will require a conversion of euro liabilities into the new currency to limit the balance sheet effects that the depreciation of the new national currency will entail.

- Greece can exit the monetary union in an orderly and negotiated manner (i.e. limit the collateral damage to its own economy and financial markets that this exit would imply) if orderly mechanisms are used and appropriate official finance is provided. Such official finance to Greece and other EZ members under stress will limit the contagion and the losses for other periphery and core creditor countries, and will ensure that the domestic Greek financial system and economy does not suffer a chaotic implosion.

- Default and exit will be painful and costly, but the alternative of a decade-long deflation and depression would be much worse, economically, financially and socially.

- Moreover, there are historical precedents for countries successfully taking the route of an orderly default on unsustainable foreign liabilities and exit from unsustainable currency pegs and/or currency boards. - in EconoMonitor

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Eurozone Plan Is Already Flopping

Roubini Global Economics argued that the Eurozone plan would flop. It is already flopping a few days after being announced "Last Shot on Goal". - in Nouriel`s Official Twitter

Related tickers, National Bank of Greece (ADR) (NYSE:NBG), Banco Santander, S.A. (ADR) (NYSE:STD), Intesa Sanpaolo SpA (BIT:ISP), UniCredit SpA (BIT:UCG), Deutsche Bank AG (USA) (NYSE:DB), UBS AG (USA) (NYSE:UBS), Royal Bank of Scotland Group plc (ADR) (NYSE:RBS)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Cartoon: Roman Empire

Source: Roubini`s Official Twitter

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

South Africa: Infrastructure And Human Capital Investments Are Essential

Infrastructure & human capital investments (education, skills, health care) essential to raise SA's growth & leverage its natural resources. - in Nouriel`s Official Twitter

ETfs: iShares MSCI South Africa Index ETF (AMEX:EZA)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

If China Has A Hard Landing, Commodity Prices Will Be Affected

If China has a hard landing, for a period of time that's going to hurt growth and reduce commodity prices until China recovers and until the rest of the world recovers. - in The Australian

Related stocks, BHP Billiton Limited ADR (NYSE:BHP), Freeport-McMoRan Copper & Gold Inc. (FCX), Rio Tinto plc ADR (NYSE:RIO)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

The Recession Is Already Ongoing In The Euro Zone

The recession is already ongoing in the euro zone. People are going to say it's good financial engineering, but unless you have economic growth there is going to be a train wreck. - in The WSJ

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Markets To Turn Skeptical On Euro Deal

In the next few weeks there will be questions about the viability of what has been decided and increasingly the markets are going to become skeptical this is a solution to the euro zone. - in an interview in Paris

Tickers, SPDR S&P 500 ETF (AMEX:SPY), ProShares UltraShort S&P500 ETF (AMEX:SDS)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Eurozone Plan: Little To Restore Growth & Competitiveness

Little in Eurozone plan to restore growth/competitiveness. Without it financial schemes (greek haircut, bank recap, levered EFSF) alone will fail. - in Nouriel`s Official Twitter

Related ETFs, iShares MSCI Spain Index ETF (EWP), iShares MSCI Italy Index ETF (EWI)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Indonesia Can Be Very Important In The Global Economy

It is the time of rising power of the emerging markets and emerging Asia is the fastest growing region in the world. Indonesia is a country that can be very important in the global economy. - Newsmax.com

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

China: Real Estate Booms Always End Up In Busts

There could be a hard landing in China over the next two or three years. There's not a single episode of coming out of an over-investment boom with a soft landing. Real estate booms always end up in busts. - in Market Watch

Tickers, iShares FTSE/Xinhua China 25 Index ETF (FXI), Morgan Stanley China A Share Fund, Inc. (CAF), iShares MSCI Hong Kong Index Fund ETF (EWH)

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

50% Probability Of A Recession

Unfortunately, in my view there is a risk, at least a 50 percent probability, that in the U.S., in the eurozone, in the United Kingdom, and in most advanced economies, the future in the next 12 months might suggest a recession, a downturn, rather than reacceleration of growth. - in Bloomberg

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Economic Models Must Properly Address Inequality

Any economic model that does not properly address inequality will eventually face a crisis of legitimacy. - in Moneyweb

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.

Italy And Spain Need A Bazooka

Italy and Spain need a “bazooka” to “have a fighting chance to avoid insolvency. Once you lost market confidence, they put pressure on your spreads. You look insolvent. - in The Financial Post

Nouriel Roubini is an American economist. He teaches at New York University's Stern School of Business and is the chairman of Roubini Global Economics.