Israel’s Slippery Slope
Israel's right-wing government has raised alarms around the world with its plans to disempower the judiciary. But while most of the criticism has focused on the implications for Israeli democracy, the "reforms" pose an equally salient threat to Israel's economy, labor...
A Mild Global Contraction Is Coming
While a severe hurricane for the global economy looks less likely than a few months ago, we are still likely to encounter a tropical storm that could cause significant damage. Much will depend on how major central banks confront the trilemma of simultaneously...
America and China Are on a Collision Course
The G7 countries may have set out to deter China without escalating the new cold war, but the perception in Beijing suggests that they failed to thread the needle at their recent summit in Hiroshima. It is now clear to all that the United States, its allies, and any...
No Respite from the Slow-Motion US-China Collision
Despite US efforts to de-escalate tensions with China and Chinese officials' wariness of economic decoupling, attempting to restore trust between the two powers seems futile. In this increasingly fraught climate, fragmentation trumps cooperation, and the danger of a...
The Coming Doom Loop
In the face of high and persistent inflation, recession risks, and now a looming insolvency crisis in the financial sector, central banks like the US Federal Reserve are facing a trilemma. Unable to fight inflation and provide liquidity support simultaneously, the...
India at a Crossroads
Sound policymaking has helped India modernize and achieve robust economic growth, positioning it to become an increasingly important player on the world stage. But recent developments - and scandals - show that the government must address some major issues if it wants...
Sleepwalking on Megathreat Mountain
Whatever one's favored terminology for describing the current moment, there is widespread agreement that we are facing unprecedented, unusual, and unexpected levels of uncertainty, auguring a future of crisis, instability, and conflict. But whether we will actually do...
More War Means More Inflation
Advanced economies and emerging markets are increasingly engaged in necessary "wars" - some real, some metaphorical - that will lead to even larger fiscal deficits, more debt monetization, and higher inflation on a persistent basis. The future will be stagflationary,...
The Unavoidable Crash
After years of ultra-loose fiscal, monetary, and credit policies and the onset of major negative supply shocks, stagflationary pressures are now putting the squeeze on a massive mountain of public- and private-sector debt. The mother of all economic crises looms, and...
This week, PS talks with Nouriel Roubini, Professor Emeritus of Economics at New York University's Stern School of Business, Chief Economist at Atlas Capital Team, CEO of Roubini Macro Associates, Co-Founder of TheBoomBust.com, and the author...