Defending the Indefensible
An eventual economic collapse coming.
by Stephen Lendman
Robert Shiller is Yale University Professor of Economics and Professor of Finance and Fellow at the International Center of Finance, Yale School of Management.
He's best known perhaps for his 2000 book titled, "Irrational Exuberance." At the height of the tech bubble, he got it right predicting it would burst. His analysis included structural, cultural, and psychological factors.
His 2005 second edition was right again. He explained the housing bubble and likely aftermath. It peaked in 2005, began declining in 2006, and hasn't yet hit bottom. Maybe a third edition will cover the next inevitable decline.
When it comes, expect far greater trouble than what preceded it. It's building inexorably for eventual collapse. Only the fullness of time knows when, but so will we when the thud's felt round the world.
Shiller's new book titled, "Finance and the Good Society," has another purpose. Instead of criticizing predatory finance, he defends it. Doing so may erode years of hard-won credibility.