Don't Worry, They'll Ignore Him

Obama tends to ignore anyone armed with more facts than ideology. This will be no different:

[Economist Nouriel] Roubini, the head of economics research firm RGE Global Monitor, said the U.S. jobless rate, already at a 26-year high of 9.4 percent, would reach 11 percent before it begins to ease. He added that he saw few engines for growth given that U.S. consumers are tapped out

As a result, Federal Reserve policy-makers, whom Roubini says completely missed the magnitude of the crisis at its inception, face an unenviable set of policy choices.

He said weak growth would allow the U.S. central bank to leave interest rates near the current rock-bottom levels for the foreseeable future. Eventually, however, trillions of dollars of unprecedented emergency measures to heal the financial system will need to be mopped back up to prevent an upsurge in inflation.

Rampant inflation could lead to negative economic cycles like the ones that plagued much of the industrialized world in the 1970s.

"That's the challenge the Fed is facing," Roubini said.

He said the central bank did the right thing to avoid an outright depression, but is left with emergency lending programs that are clearly not sustainable.

As Ace of Spades says, 'Eh, what does he know?'

I suspect he knows way too much for Obama to pay attention to him.

There's my two cents.