Shilling talked of the housing bubble that is collapsing before our eyes: House prices shot up 2.5 times between 1995 and 2005, peaked in October 2005 and now, two years later, have started to fall.
Then-Chairman Greenspan's "irrational exuberance" speech was in December 1996, with the bulk of the dot-com bubble to follow, but the Fed didn't even hike reserve requirements to send a warning shot across Wall Street's bow.