Dr Doom warns of 50% chance of global recession

Economist Nouriel Roubini believes the unresolved debt crisis in Europe has resulted in more than a 50% chance of a worldwide recession.

Speaking at the Commonwealth Business Forum investor conference in Australia yesterday, perma-bear Roubini said the question remains whether the recession will be mild or severe, depending on how quickly politicians step in to recapitalise Europe's indebted banking system. "In my view, there is a significant probability of more than 50% that over the next 12 months, there is going to be another recession in most advanced economies," said Roubini. "If we are asking ourselves whether the recession in advanced economies is going to be mild or whether it will be severe, the answer very mu...