Irrational Exuberance

  • by Robert J. Shiller
  • Narrated by Robert J. Shiller
  • 5 hrs and 56 mins
  • Abridged Audiobook

Publisher's Summary

In this bold and potentially urgent volume, Robert J. Shiller, a respected expert on market volatility, offers an unconventional interpretation of recent U.S. stock market highs and shows that Alan Greenspan's term "irrational exuberance" is a good description of the mood behind the market. He warns that poorer performance may be in the offing and tells us how we - as a society and individually - can respond. Shiller credits an unprecedented confluence of events with driving stocks to uncharted heights. He analyzes the structural and psychological factors that explain why the Dow Jones Industrial Average tripled between 1994 and 1999, a level of growth not reflected in any other sector of the economy. In contrast to many analysts, Shiller stresses circumstances that alter investors' perceptions of the market. These include the entry of the Internet into American homes, the misimpression that the aging of the baby-boom generation builds long-term protection into the market, and herd behavior, such as day-trading. He also examines cultural factors, including sports-style media coverage of the Dow's ups and downs and "new era" thinking about the economy. He considers - and challenges - efforts to rationalize exuberance that are based on either efficient-markets theory, narrowly construed, or the claim that investors have only recently learned the true value of the market.
Irrational Exuberance is a must-listen for individual investors as well as investment professionals, pension-plan sponsors, and endowment managers everywhere. It will be studied by policy makers and anyone from Wall Street to Main Street who doesn't want to be caught sitting on the speculative bubble if (or when) it bursts.


What the Critics Say

Nominee for Audio Publishers Association 2001 Audie Award, Business Information
"No one has explored the strange behavior of the American investor in the 1990s with more authority..." The New York Times


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Customer Reviews

Most Helpful

My mistake - audioer beware!

I clicked this into my library without realising a) that it was abridged and b) that it is the 2000 edition not the 2005 revised edition. In other words, in my appreciation this purchase is a complete mistake. Why would the 2000 edition even still be in stock, once the post-2001 crash version is available? I'm going to try and send this book back.
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- Judy Corstjens

Sensible and thought-proviking analysis of markets

This book was written just before the dot com crash of 2000-2002, which lends force to it's prophetic arguments against the complacent assumptions that dominated discussion of the markets at that time. Although inevitably much has changed since then, it's still worth a buy and a listen since many of the ideas that were fueling excess optimism in 2000 have started to be heard again, and whether or not you think there are direct parallels to be drawn to the present, the book is a persuasive caution against group-think in investing.

The author reads his own work, which IMO was perhaps not the best choice.
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- Mr

Book Details

  • Release Date: 31-10-2000
  • Publisher: Random House Audio