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Nouriel Roubini: Risk in the Age of Bank Failure

Real Vision: Finance & Investing

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The Paradox of a Positive Aggregate Supply Shock

Nurel: In the next decade, we're going to have inflation and speculation. But I do agree that eventually AI robotic automation or machine learning is going to be deflationary because the economic price is going to become bigger. So eventually, when I have good deflation through AI, it's going to destroy most jobs. Extreme argument. You could have 10% growth in the economy, potential, and having 80% unemployment rate - right? Usually we think of high growth, but high employment, the opposite. That's a paradox of a positive aggregate supply shock.

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