What did Robert Shiller do?

In 2005, Robert J. Shiller was the Vice President of the American Economic Association. He was also appointed as the President of the Eastern Economic Association in 2006 and 2007. Shiller has been a research associate for the National Bureau of Economic Research since 1980.

He is known for predicting the performance of the stock market for years.

In 2009, he published a book titled ‘Irrational Exuberance’ in which he stated;

“The stock market increase from 1994 to 2000 could not obviously be justified in any reasonable terms. Basic economic indicators did not come close to tripling. Over this same interval, U.S. gross domestic product rose less than 40% and corporate profits rose less than 60%, and that from a temporary recession-depressed base. Viewed in the light of these  figures, the stock price increase appears unwarranted.”

He has contributed largely to economic measurement, however, the most important and notable one was the Case-Shiller index of housing prices. Here, he developed the case with fellow economists, Karl Case, and Allan Weiss.

“The main virtue is that, unlike other housing prices indices, it is based on data on repeat sales of single-family homes,” the reports read.