If the U.S. was to see its unemployment rate rise to 20%, like in Spain, the country would have a revolution because of the weak social safety net, says University of Chicago economist Raghuram Rajan.

In an interview with Der Spiegel, Rajan attacked the U.S. recovery, calling it "false," and the product of "extreme stimulus."

But Rajan's primary concern is the potential for the current currency conflict between emerging market and developed countries. Rajan says that "matters could escalate" and countries, like China and the U.S., could become frustrated and initiate more aggressive protectionist measures.