Withdrawing economic stimuli and tightening monetary policy are very difficult future policy choices, but something has to be done because asset bubbles have started to take shape, Nouriel Roubini, chairman of Roubini Global Economics, told CNBC on Wednesday.
“On monetary policy, exiting too soon is going to tip the economies into recession; the trouble is … now there is the beginning of an asset bubble that’s becoming global,” Roubini told “Squawk Box Europe” at the World Economic Forum in Davos, Switzerland.
“The good news is there is a beginning of an economic recovery. The question is what’s going to be the shape of the recovery,” he said.
Source: CNBC, January 27, 2010.
