Preheat the oven to 400 degrees F (200 degrees C). Lightly grease cookie sheets. In a small shallow dish, stir together the cinnamon and white sugar; set aside.
In a medium bowl, stir together the flour, brown sugar and nutmeg. Cut in butter using a pastry blender or your fingers, until the mixture resembles coarse crumbs. Add egg, and mix into a stiff dough. It may take a minute or two for the dough to come together. Mix in raisins. Roll dough into 1 inch balls, and roll the balls in the cinnamon sugar mixture. Place cookies 2 inches apart onto the prepared cookie sheets.
Bake for 10 minutes in the preheated oven, or until lightly browned just around the edges. Remove from baking sheets to wire racks to cool.
