Economist Nouriel Roubini has warned that the European Central Bank (ECB) and Bank of England (BOE) should continue raising interest rates to avoid the risk of stagflation. Roubini believes that the recent increase in oil prices will keep inflation high, and any talk of easier monetary policy would be premature. He argues that the ECB and BOE face a bigger dilemma than the US Federal Reserve as prices are rising fast while growth is slowing.
