Posts Tagged ‘Nouriel Roubini’

Crisis Economics

May 26, 2010

I’m reading Crisis Economics by Nouriel Roubini and Stephen Mihm. Roubini was the professor of economics who called the collapse of the economy several years before it happened. At the time he made his predictions, he was ridiculed. But it turned out that he was right on the money, so to speak. It’s an interesting book, even for someone who doesn’t really understand much of the time what Roubini is talking about. I’m with Henry Miller who asked, “But what makes money make money?” I just don’t understand.

As I read, one thing I notice is that Roubini’s underlying assumption is the same as the people he’s criticizing, namely that the most important human activity is economic. His issue with the businessmen who led the world into the abyss is simply that they were deluded about certain economic realities. I think that most Americans today—probably most people in the world today—would probably agree with the idea that economic activity, the creation of wealth, is our most important activity—which is to say that we live in a profoundly materialistic age. But it’s the road to ruin. The last crisis was a warning. We’re either going to let go of the chase gracefully or we’re going to be stopped, and in a most painful manner. “You cannot serve God and mammon.” It’s odd that they call this a Christian nation.