Recession Isn't My Greatest Fear

A slowdown in productivity growth is my biggest worry, because it would hamstring the Federal Reserve

A whiff of recession smoke seems to have entered the room, and those of a pessimistic bent can already see the flicker of flames outside the window. Nouriel Roubini, an economist at New York University who was worried about a global recession in 2004, is now predicting that "the U.S. is heading toward a sharp recession by early 2007." In his view, "current economic and financial conditions in the U.S. eerily resemble those that led to the stock market crash in October, 1987."

To continue reading this article you must be a Bloomberg Professional Service Subscriber.