i am editor-at-large and moderator for today's program and it's my pleasure to introduce robert shiller. robert shogan is a yellow con a mess come one of the a slew of economist awards, one of bloomberg's 50 most important people in finance. but there is an important reason we listen to robert shiller. he has an amazing ability to see problems coming down the road and if you listen to robert shiller you could have avoided a lot of those problems and maybe could have made a little money in the process. what kind of problems? how about the problematic belief that everything bad is priced in the market or at at the price of any given stock -- what warren buffett could do to squeeze by the sufficient markers. in the late 80s he proved chair bayboro finance at the market was likely to be much more volatile and emotional than any rational calculation might suggest insomuch producing the crash of 1987. not done in the late '90s explained why the dotcom bubble had to pop predicting the march 2000 market crash in his best-selling book irrational exuberance. for all that he is best known for call

that was well-known economist robert shiller of the case-shiller index.hat was on cnbc europe earlier this week. so is the global economy really in the midst of a late, great depression? well, i sat down with professional schiller, who by the way famously predicted two big bubbles in tech stocks and housing prices. also, he does have a new book out called "finance and the good society." here is what he had to say. please take a listen. >> let me just ask you. you are now famously quoted, okay. you're famously quoted as saying we are in a state of late, great depression. i don't know what that means. it sounds very scary. what are you trying to tell me? >> did i say that? >> yes. you were quoted in reuters and others. >> i think there are a lot of analogies to what we've been going through to that of the great depression. but i don't think we're really in a depression. so i must have said it slightly wrong. but certainly we have, for example, the lowest interest rates ever. long-term and short-term are at depression levels. so there is other examples as we

. >> new developments in the maryland robert shiller call -- robocall scandal. >> instance from the election day calls of bob ehrlich. >> the stage set for the presidential election. he only needed the aid in the delicate. texas offers one under 52. -- 152. >> ms. duffy will be sworn in as the new council member. he won the election last month to replace harry thomas jr.. he pleaded guilty to embezzling money from the city. they drop hints on the company. >> good morning. >> let's begin with the ceo. he had a lot to say about the conference. he did confirm television is an area of intense focus. it is released in 2013. he said that apple has great appreciation. on facebook, but they just received a second request notice from the federal trade commission over the $1 billion deal for buying instagram. they're seen whether it violates any antitrust laws. >> this will be the blackberry first since 2004. united continental is being sued over racial discrimination. i will have all those coming up. reporting for abc 7 news. >> all right. we will talk to using. >> it is 16 degrees. >>> still to come

marshall plan for europe and there is a way to rescue both the euro and to rescue greece and dr robert shillerou know of irrational exuberance same wrote a wonderful last sunday op ed piece in last sunday's new york times not this sunday in the bin which he said that we shouldn't be thinking of an austerity measure where everything gets tight at once when they when there's a recession and people can't create demand can't spend the money then the government has suspended well there are. there are some famous economists including . something as economists here in this country who have studied this problem and what they said was that if you. if you increase expenditures by the expenditures by the same amount you increase taxes you increase national income and that doesn't increase debt so that advocate i think you can reach that if the greeks are going to raise you have to reserve taxes of the spanish and the and italians if they would spend an equal amount as they raise their taxes there's no increase in debt and it spurs growth but there is really growth as a painless way to get out of this mes

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