China’s economy will slow in 2012, prompting policy makers to reduce interest rates and loosen lending restrictions, said Nouriel Roubini, the economist who predicted the 2008 financial crisis.
“It’s going to be a significant growth slowdown this year,” Roubini, co-founder of Roubini Global Economics LLC, said in a Bloomberg TV interview today. “Housing is deflating. Export growth is slowing down. If they don’t do something -- stimulus in monetary and fiscal credit -- the risk is that the growth will slow down well below 8 percent.”
