Saudi Press

Saudi Arabia and the world
Monday, Jul 14, 2025

'Dr. Doom' economist Nouriel Roubini says we'll have inflation for a long, long time. He blame wars, the robot revolution, and 3 other disasters that will plague the global economy.

'Dr. Doom' economist Nouriel Roubini says we'll have inflation for a long, long time. He blame wars, the robot revolution, and 3 other disasters that will plague the global economy.

Inflation is sticking around, and you can blame war, robots, and rampant disease for that, according to "Dr. Doom" economist Nouriel Roubini.

"Dr. Doom" Nouriel Roubini warned that we'll have inflation for a long, long time – and you can blame, wars, the robot revolution, and slew of other disasters that will plague the global economy.

"Inflation rose sharply throughout 2022 across both advanced economies and emerging markets. Structural trends suggest that the problem will be secular rather than transitory," the top economist said in a recent op-ed for Project Syndicate.

That comes after a difficult year for the US economy, with prices hitting a 41-year-high in 2022 and still hovering well-above the Fed's 2% target. According to Roubini, central bankers around the world are unlikely to bring down inflation without causing a severe recession, which could spell trouble for the global financial system considering that many households, banks, and governments are heavily indebted.

Central bankers can't cushion a debt crisis without slashing interest rates, which could worsen inflation. That impasse could slam the global economy with "the mother of all stagflationary debt crises," Roubini warned, a financial disaster that entails high unemployment, high inflation, and in the US, a steep stock market crash.

Roubini, who called the 2008 recession and is known for his doomsayer predictions on Wall Street, has said that sort of inflationary-debt disaster is inevitable at this point. It could also stretch on for years, he warned, pointing to five major problems in the global economy that could jack up prices and government spending, exacerbating the incoming crash.


Wars


Russia's invasion of Ukraine disrupted supply chains and has already rattled the global economy, but geopolitical conflict could spread across the world, Roubini said. He pointed to tensions between the US and other major powers, such as the Middle East, Iran, and China, and previously warned that World War III has already begun. 

Tensions are leading many powers to build up their shore of military supplies, including NATO, Europe, and the US. That burden on national budgets could exacerbate high-debt levels and inflation, prolonging the financial crisis he's warned of.


Climate change


The global economy is also waging a war against climate change, which could be expensive to resolve.

"Climate-change mitigation and adaption could cost trillions of dollars per year for decades to come, and it is silly to think that all these investments will boost growth," Roubini said, adding that nations would likely become poorer over time.

"A significant share of the existing capital stock will have to be replaced, either because it has become obsolete or because it has been destroyed by climate-driven events."


Rampant disease


The spread of COVID-19 isn't over, and neither are pandemics. Roubini predicted disease outbreaks would become rampant in the future, partly due to the effects of climate change. That could significantly rack up government debt as leaders attempt to tackle one public health crisis after the other, while also confronting the costs of welfare for an aging society.


The robot revolution


The global economy will be slammed by "globotics," as Roubini calls it, or the innovation stemming from globalization and automation. While some argue those factors are spurring economic growth, they're a major threat to blue- and white-collar workers, meaning governments could be forced to shell out huge sums of cash if robots, AI technology, and other advancements put people out of work.

The costs could be hefty, Roubini warned. He estimated that the US could lose about 20% of its GDP if the government doles out a basic income of $1000 per person a month.


Wealth inequality


Wealth gaps are sparking unrest among the young and the middle- and working-classes, Roubini said, which could be expensive for government leaders to smooth over.

"To prevent populist regimes from coming to power and pursuing reckless, unsustainable economic policies, liberal democracies will need to spend a fortune to reinforce their social safety nets – as many are already doing," he said.

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
Iranian President Reportedly Injured During Israeli Strike on Secret Facility
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Russia Formally Recognizes Taliban Government in Afghanistan
Mediators Edge Closer to Israel-Hamas Ceasefire Agreement
Emirates Airline Expands Market Share with New $20 Million Campaign
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
Amazon Reaches Major Automation Milestone with Over One Million Robots
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
China Unveils Miniature Insect-Like Surveillance Drone
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Iran Executes Alleged Israeli Spies and Arrests Hundreds Amid Post-War Crackdown
Trump Asserts Readiness for Further Strikes on Iran Amid Nuclear Tensions
Iran's Parliament Votes to Suspend Cooperation with Nuclear Watchdog
Trump Announces Upcoming US-Iran Meeting Amid Controversial Airstrikes
Trump Moves to Reshape Middle East Following Israel-Iran Conflict
NATO Leaders Endorse Plan for Increased Defence Spending
U.S. Crude Oil Prices Drop Below $65 Amid Market Volatility
Explosions Rock Doha as Iranian Missiles Target Qatar
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
Oman Set to Introduce Personal Income Tax, First in Gulf
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Iran Intensifies Crackdown on Alleged Mossad Operatives After Sabotage Claims
Trump Praises Iran’s ‘Very Weak’ Response After U.S. Strikes and Presses Israel to Pursue Peace
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
We have new information and breaking details to share about what is shaping up to be a historic air campaign tonight
Six Massive Bombs Dropped on Fordow; Trump: 'A Historic Moment for the U.S., Israel, and the World'
Fordow: Deeply Buried Iranian Enrichment Site in U.S.–Israel Crosshairs
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Pakistan to nominate Trump for Nobel Peace Prize.
Israel Confirms Assassination of Quds Force Commander in Tehran
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
G7 Leaders Fail to Reach Consensus on Key Global Issues
Mass exodus in Tehran as millions try to flee following Trump’s evacuation order
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Netanyahu Signals Potential Regime Change in Iran
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
×