More doom and gloom

Nouriel Roubini is back on the air, scaring the bejesus out of everybody. In an appearance this morning on CNBC, he was especially concerned about the possible collapse of hundreds of hedge funds that are too heavily tied into credit default swaps and must sell off equities. That, of course, will bring down the stock market (he's talking about a drop of another 20 percent). Roubini expects two full years of negative growth, and an unemployment rate of 8½ to 9 percent. Housing, he says, is still a disaster. Even after the recovery, the economy will feel like we're still in a recession. Henry Blodget at Clusterstock calls it “perhaps the most frighteningly pithy picture of his Armageddon vision we've ever heard.” Here's the clip. Enjoy.