Shiller's

Which side you take—Mr. Shiller's or Mr. Bianco's—depends partly on whether you are more comfortable with the analysis of an academic who works far from Wall Street and whose job is to test theories, or a Wall Street strategist who is paid to track the market closely and bring in business.

Is the Market Overvalued? E.S. Browning 2011

The innovation of Mr. Shiller's system is that it is designed to avoid distortions from short-term profit swings.

Is the Market Overvalued? E.S. Browning 2011

Clients, he says, started using Mr. Shiller's data to contest his bullish thesis.

Is the Market Overvalued? E.S. Browning 2011

Shiller's measure is inaccurate, and the Wall Street strategist has taken his criticism public.

Is the Market Overvalued? E.S. Browning 2011

On that basis, Mr. Shiller's method shows the S&P 500 trading at 23 times profits, well above the historical average of 16.

Is the Market Overvalued? E.S. Browning 2011

Mr. Bianco's massaging shows the S&P 500 trading currently at about 14.5 times his own calculation of 10-year profits, a much more attractive level than Mr. Shiller's 23 times profits.

Is the Market Overvalued? E.S. Browning 2011

How do you reconcile your calculations with Shiller's data?

Time to Panic?, Arnold Kling | EconLog | Library of Economics and Liberty 2009

Shiller's piece is a masterwork of phone-it-in non sequiturs.

How many non sequiturs does it take to make an NY Times op-ed? 2009

Shiller's numbers in three ways, however, to remove what he thinks are distortions.

Is the Market Overvalued? E.S. Browning 2011

Shiller's old friend and sometime critic, Jeremy Siegel of the University of Pennsylvania's Wharton business school, is Mr. Bianco's former professor.

Is the Market Overvalued? E.S. Browning 2011