Richard Koo Explains Why The Recovery Will Be So Difficult

Richard Koo, Chief Economist at Nomura Research Institute, delves into the complexities of global economic recovery amid simultaneous crises. He draws parallels with Japan's balance sheet recession, highlighting the psychological shifts towards savings that hinder growth. Koo discusses the varied fiscal responses across nations, particularly the challenges Europe faces compared to the U.S. and Japan. He emphasizes the difficulties policymakers will encounter in reviving economies and the long-lasting impacts of past recessions on current financial behaviors.