Steps:
- For the goulash: Preheat the oven to 250 degrees F.
- Sprinkle the beef with 1/2 teaspoon salt and a few turns of pepper. Heat a Dutch oven over medium-high heat and coat with the oil. When the oil is shimmering, sear the beef all over in batches until deep brown, about 4 minutes per batch. Transfer the beef to a bowl and set aside.
- Add the onions and cook, scraping up any meat bits from the bottom of the pan, about 3 minutes. Add the carrots, garlic and a pinch of salt and saute until the onions are translucent, about 5 minutes. Add the paprika, tomato paste and caraway and stir to combine; cook for 2 minutes. Add the beef back to the pan, then add the broth, chopped tomatoes, Worcestershire sauce and bay leaves and stir to combine. Bring to a boil, then reduce to a simmer. Cover, transfer to the oven and cook until the beef is tender and can be broken down with a spoon but still maintains its shape, about 2 hours.
- For the bread dumplings: Meanwhile, whisk together the flour, nutmeg, 3/4 teaspoon salt and a few turns of pepper in a small bowl. Whisk together the milk and eggs in a large bowl. Add the bread cubes, cheese and scallions to the egg mixture and stir to combine. Mix in the flour mixture. Let the dumpling mixture sit for 15 minutes.
- Bring a large pot of salted water to a boil. Using a 1/3-cup ice cream scoop, form firmly packed balls of the dumpling mixture. Add them to the pot and boil until cooked through, 15 to 20 minutes.
- Spoon the goulash into bowls and add a dumpling or two to each. Top with chopped parsley or scallions if desired.
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