Nouriel Roubini talk, you listen

Because he's been right about every damn thing so far.

Here's Roubini, yesterday:

Sorry. Couldn't resist.

You know that "bad bank" we've heard about, the one that would offload all the toxic loans from the banking system? Roubini says it's not enough:

US and global stocks are still likely to fall because the corporate and economic news will be worse than expected, Nouriel Roubini, RGE Monitor Chairman, told CNBC.

Investors will be hit by the realization that many banks are bankrupt, that companies will have to rein in debt and sell assets and that emerging markets may get into trouble, Roubini said.

"I think that there's a 20 percent downside risk to US and global equities," Roubini told "Squawk Box Europe."

The transmission mechanism oiling the wheels of the banking system is broken, he said, adding that "banks are getting the money and they are hoarding it, they're not lending it," because they expect higher losses.

[snip]

From CNBC: "The US Banking System is Insolvent": Dr. Doom

That was the opinion of economist Nouriel Roubini, of RGE Monitor, who was one of the first people to predict the housing crisis, speaking to "Squawk Box Europe" this morning.

Expected losses of about $2 trillion exceed bank capital of about $1.5 trillion, Roubini said.

Roubini had earlier said that total financial system losses could hit $3.6 trillion.

And "schemes" to just buy so-called toxic assets may not work, because the "risk is it's going to take too much time to resolve the problem," he added.

Instead Sweden's plan of nationalizing all insolvent banks, cleaning them up and then selling off the good assets to the private sector could be a better option, he said.

Sweden? Isn't that SOCIALIST???? Far better to let the whole damn economy go into the crapper than let anything that might smack of an ideology that's dead anyway clean up the mess.