Author: Larissa Fernand

Bangalore: You don’t earn the title of Dr Doom by personifying optimism. Dr Nouriel Roubini is rightly dubbed with the moniker of Dr Doom. He’s on a roll once again and his most recent fear-inspiring predictions for the US and the global economy have gone viral. Nouriel Roubini is a professor at the Stern School of Business at New York University and owner of his own consultancy firm, Roubini Global Economics.

The crux of his prediction for a tumultuous 2013, which he has referred to as the perfect storm, is a combination of factors that could play havoc with the global economy. He cites the worsening of the debt crisis in Europe; the US entering into a recession; a hard landing for China’s economy; slow down of growth in the emerging economies of China, Russia, India, Brazil, Mexico and Turkey; and finally a military confrontation with Iran which would result in global oil prices going through the roof.

So if all these permutations and combinations do come into play resulting in a freefall of markets and collapse of economies, the effect would culminate into a financial Armageddon since we are running out of “policy bullets” and “policy rabbits to pull out of the policy hats” when compared to 2008.