The ‘Dr Doom’ economist who predicted the housing crash has issued a fresh warning that could impact US citizens.
Nouriel Roubini, who is also known as Dr Doom, predicted the 2000s housing crash, which Wall Street had dismissed.
Now, the expert has written an essay for the Financial Times, where he said: “The now common view that the U.S. stock market is in a massive bubble and bound to crash is incorrect over the medium term.”
However, by next year, he believes that the growth will begin to accelerate again.
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Roubini went on to detail how he sees the potential growth for the US doubling from 2% to 4% before 2030, with a significant amount of the growth being driven by the development of AI technology.
But what about the strength of the dollar? According to the financial expert, the future isn’t looking as bleak as many fear, as Roubini does not believe that there will be a decline of the dollar.
The Congressional Budget Office has projected that debt-to-GDP will climb under 1.6% real growth assumptions.
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However, if the growth averages 2.3% or higher, then the ratio will stabilize and at 3% or more, it will fall.
This means that we have the potential as a country to grow out of debt.
What does Dr Doom think about China’s potential growth?
The expert did point out that China is - at the very least - on par with the US in terms of the country’s innovation and growth.
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This includes China’s focus on the development of AI technology and robotics but that doesn’t necessarily mean a new Cold War is upon us.
As nations race to reach new heights of AI advancement, Roubini pointed out: “The US economy and markets are best positioned among advanced economies. They will continue to benefit from the U.S. being the most innovative advanced country.”
And it seems like we’re just getting started when it comes to AI as, in other news, the man who designed the iPhone has revealed a groundbreaking AI device like nothing the world has ever seen before.
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Jony Ive has been keeping the details of a new OpenAI product under wraps after news broke that the tech giant was prototyping a device.
This will be the first hardware for the AI company which is led by CEO Sam Altman, with Ive revealing that it could be made available in ‘less than’ two years’ time.