Fannie Mae and Freddie Mac would go bankrupt and the credit crunch would lead to a US recession by some time in 2007.
Mixed Partly true and partly false in roughly equal measure.
Prediction: Statements about events outside the person's control, checked once they fell due: did they come true?
What would count as true or false
This is a two-part prediction with a 2007 deadline. Part A: Fannie Mae and Freddie Mac 'go into bankruptcy'. A formal bankruptcy, or an insolvency-driven government takeover such as conservatorship or receivership, counts as delivery. Part B: the credit crunch leads to a US recession beginning by some time in 2007, judged by the NBER business-cycle peak date. True: both parts happen by 31 Dec 2007. Mostly true: the recession begins in 2007 and both firms fail through a government takeover rather than formal bankruptcy, both by end-2007. Mixed: the recession begins in 2007, but the Fannie/Freddie failure comes only after 2007 (it is late), or the failure is on time but the recession starts after 2007. Mostly false: only one part ever happens, or both happen but only after 2007. False: there was no US recession starting by 2007 and neither firm failed or was taken over. Note: the quote is Roubini's later retelling. Where 2006-era statements show he did not actually predict a part, judge only what he predicted then and flag the discrepancy.
Set before the research began.
Evidence (4)
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E1 History of Fannie Mae and Freddie Mac Conservatorships | FHFA Federal Housing Finance Agency (FHFA)
“On September 6, 2008, with the consent of both Fannie Mae's and Freddie Mac's (the Enterprises) boards of directors, the Director of FHFA exercised statutory authority to place each Enterprise into conservatorship.”
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E2 Business Cycle Dating Committee Announcement December 1, 2008 National Bureau of Economic Research (NBER) · 1 December 2008
“The committee determined that a peak in economic activity occurred in the US economy in December 2007. The peak marks the end of the expansion that began in November 2001 and the beginning of a recession.”
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E3 Nouriel Roubini - Wikipedia Wikipedia
“Roubini spent several years predicting a very different sort of crisis — one in which foreign central banks diversifying their holdings out of Treasuries sparked a run on the dollar — only to turn in late 2006 to warning of a U.S. housing bust and a global 'hard landing'.”
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E4 Nouriel Roubini - Wikipedia Wikipedia
“In 2006, Roubini warned that a housing bust would trigger a global banking crisis and deep recession within a few years.”
Reasoning
NBER dated the business-cycle peak, marking the start of the recession, to December 2007 [E2], so the recession part was met by the 2007 deadline. Fannie Mae and Freddie Mac were placed into conservatorship on September 6, 2008 [E1], which counts as failure but came after the 31 Dec 2007 deadline. Under the criteria, this combination is mixed. One secondary summary says Roubini warned in 2006 of a deep recession 'within a few years' [E4]; neither summary addresses whether he predicted the Fannie Mae and Freddie Mac failures [E3, E4], so the evidence does not confirm or rule out that part of his 2006 statements.
Cite this claim
Nouriel Roubini, “Fannie Mae and Freddie Mac would go bankrupt and the credit crunch would lead to a US recession by some time in 2007.” (said 2006). Verdict: mixed. Reliability API, claim c_b53762adf8f0, method 0.1.0+c876030c, dataset release v1.1.2. https://epistacklabs.com/claims/c_b53762adf8f0
This claim is in dataset release v1.1.2, with the same verdict.
Reply to this claim
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Verdicts are made automatically; how verdicts are made.