Stephen Roach — US consumers are still in a balance sheet recession

Roach: Companies hire when they expect demand to grow, Tom. You’re going to add people and capacity if you’re optimistic about the future. Demand is being constrained by the American consumer, which, contrary to most of the people you have on this show, still overly indebted, saving short, and is reluctant to spend.

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Stephen Roach: US consumers are still in a balance sheet recessionPosted by Edward Harrison

Stephen Roach is a senior fellow At Yale University’s Jackson Institute Of Global Affairs and a senior lecturer at Yale SOM. He was formerly chairman of Morgan Stanley Asia and the firm’s chief economist for the bulk of his 30-year career at Morgan Stanley, heading up a highly regarded team of economists around the world.