{"id":545939,"date":"2010-04-28T06:19:00","date_gmt":"2010-04-28T10:19:00","guid":{"rendered":"http:\/\/www.businessinsider.com\/roubini-in-a-few-days-time-there-might-not-be-a-eurozone-for-us-to-discuss-2010-4"},"modified":"2010-04-28T06:19:00","modified_gmt":"2010-04-28T10:19:00","slug":"roubini-in-a-few-days-time-there-might-not-be-a-eurozone-for-us-to-discuss","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/545939","title":{"rendered":"Roubini: “In A Few Days Time, There Might Not Be A Eurozone For Us To Discuss”"},"content":{"rendered":"

\"nouriel<\/p>\n

When it comes to the PIIGS, Dr. Doom is in full-on doom mode.<\/p>\n

Felix Salmon has some good notes on a PIIGS panel<\/a> from the Milken Global Conference, which included Nouriel Roubini, who is in his wheelhouse when talking about sovereign debt crises.<\/p>\n

Nouriel, of course, takes that kind of thinking to its logical conclusion, and kicked off the panel by announcing that it was just in time: “in a few days,” he said, “there might not be a eurozone for us to discuss.” There’s no way that Greece can implement the 10% spending cut it needs to do in order to stop its debt spiralling out of control at current interest rates — and even if it did, the economic effects would be disastrous.<\/p>\n

Nouriel’s base case, then, is Argentina 2001: after all, Greece has a much higher debt-to-GDP ratio, much higher deficit-to-GDP ratio, and much higher current-account deficit than Argentina had back then. And if that’s<\/em> the base case, there’s no way that Greek debt should be trading anywhere near its current levels.<\/p>\n

And guess what: Spain is worse than Greece, says Roubini. Ugh.<\/p>\n

Now see who’s going to get pounded in a Greece collapse ><\/strong><\/a><\/h3>\n

Read Felix’s full post here ><\/a><\/p>\n

Join the conversation about this story »<\/a><\/p>\n

See Also:<\/b><\/p>\n