Stephen Roach, : we're setting ourselves up for yet another series of bubbles that could end rather painfully

Stephen Roach, Morgan Stanley non-executive chairman.:"I agree on both counts. too bad we didn't get to those, but i'll say one thing about monetary policy. he's a terrific central banker. we need more central bankers like richard fisher, but he spoke a lot about the fed post-crisis, and i think we'll have a much different assessment of the fed pre-crisis. it's pretty clear to me that a 1% federal funds rate was not the right answer for the u.s. economy for several years leading up to the mortgage and credit crisis. it's equally clear to me right now that zero is probably not the right answer either, and I worry we're setting ourselves up for yet another series of bubbles that could end rather painfully. we've got to take a long and hard look about not what they are doing to stave off the post-crisis pain but to prevent the next crisis from ever happening again"

Stephen Roach Housing Still in the Weeds

Morgan Stanley's Stephen Roach breaks down why low homebuyer demand is keeping him bearish on its recovery.

Stephen Roach, Americas Economy Looks Cloudy

Former Morgan Stanley Asia Chairman Stephen Roach breaks down why the current economic outlook is hampering job creation.

Stephen Roach, U.S. Has Japan Disease, Could Drag Global Economy Into a Quagmire

If we’re not careful the U.S. could suffer “Japanese disease”, Stephen Roach, Yale Professor and Morgan Stanley’s non- executive Asia chairman recently wrote in a note to clients.

Roach expounds on that idea in the accompanying interview, recorded at The Economist’s Buttonwood Gathering in New York City.

The message is simple: The U.S. has learned nothing from Japan. If it continues on the path of QE2, “Japanese disease” is likely to spread like a pandemic throughout the globe, he warns. "I am increasingly worried that the world economy is at risk of falling into a Japanese-like quagmire." read full article >>>>>