Roubini Says Fiscal Compact Will Deepen Euro Area Recession

“Next year we are also going to have austerity in the core of the euro area because the newly agreed fiscal compact says that even Germany, Netherlands, Belgium, Finland and Austria have to cut their deficits,” Roubini told reporters at a conference today in Berlin organized by IG Metall, Germany’s biggest trade union. “With austerity in the U.S and in Japan, the risk is that this is going to push the global economy in another downturn.”

[link to www.businessweek.com]

Roubini has been right with his forecasts before. So we probably have a global austerity thing coming next year according to him.



:nofuture: