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A couple of interesting things this week from Robert Shiller.
First, in an interview with The Browser he discusses how human psychology drives capitalism and its contributions to the financial crisis. Robert Shiller on Human Traits Essential to Capitalism.
In the interview he recommends five books on the topic. They are:
- Adam Smith The Theory Of Moral Sentiments
- The Passions and the Interests: Political Arguments for Capitalism before Its Triumph
- Nudge: Improving Decisions About Health, Wealth, and Happiness
- Fault Lines: How Hidden Fractures Still Threaten the World Economy
- Winner-Take-All Politics: How Washington Made the Rich Richer–and Turned Its Back on the Middle Class
Also, this week he was interviewed from Davos by CNBC. He stated that the US market, by his estimation, is overvalued in terms of fundamentals. He also said DOW 12,000 may be like DOW 1,000 in that it was a tough psychological barrier to break and that we may bounce up against it for some time. Article is here or video below. Also, in the video some interesting comment from Patrick Kron, the CEO of the French company Alstom on the “dual economy” they see and differences in demand between emerging and developed markets.
– Watch more Videos at Vodpod.
