Economist Nouriel Roubini Warns of Growing Risk of Stagflationary Crisis

'The rosy scenario that is currently priced into financial markets may turn out to be a pipe dream,' Roubini says

Nouriel Roubini, professor of economics and international business at New York University, testifies on Capitol Hill in Washington, on Oct. 30, 2008. Win McNamee/Getty Images

Economist Nouriel Roubini, known for his gloomy-yet-accurate prediction of the 2008 financial crash, warned in a recent op-ed that the global supply chain crisis combined with high debt ratios and ultra-loose monetary and fiscal policies threaten to turn the “mild stagflation” of recent months into a stagflationary crisis.

Roubini argued in the Sept. 21 op-ed “Goldilocks Is Dying” that the optimistic outlook of stronger economic growth alongside moderating inflation may turn out to be wishful thinking.