Microsoft Corp. (MSFT) Chief Executive Steve Ballmer said Friday that a permanently changed economy will be slow to recover from the recession, but he also cited signs of improvement and issued an upbeat outlook for long-term information-technology opportunities.

"What we see today feels like a new normal," Ballmer said about the economy in an address during a luncheon held by the Boston College Chief Executives' Club of Boston. "I don't think we're through all the issues."

He noted that corporate spending on technology was badly hurt by the downturn. "I think business is going to be slow to start rehiring" and investing, he said.

But he also noted some areas of improvement, such as in spending on consumer electronics. "We see some stability at this stage, and I think the chance for real growth."

Over the long haul, Ballmer made a case for a big, expanding role for information technology. He talked about a range of potential uses and ways it can help in drug discovery, the energy field, education and other applications.

Ballmer said he sees tech innovation having a bigger impact on society in the next five to 10 years than it did in the prior five to 10 years.

-By Jon Kamp, Dow Jones Newswires; 617-654-6728; jon.kamp@dowjones.com