New column: Bob Shiller's plan to fix things

Continuous workout mortgages? A derivatives market? Interesting ideas, but there are just too many parties with a vested interest in home values always increasing, present evidence to the contrary. I don't see any means of bringing that under control.

"An active market in house-price futures and options" to be manipulated by the same geniuses who brought us the current housing and financial crisis. No thanks.

Curmudgeon, Indpendent

I say why not. Granted, I own $400k in realestate here in Houston, but it's got to be better than the status quo in terms of transparency.

In fact, I suspect that more specifically it will create an additional incentinve for Americans to diversify further and result in more efficient housing markets and ultimately real estate utilization. Something which is desperately needed in this country for a populus so averse to taxes. Do people really want to cut taxes or not? Or is it just more schizoparanoid delusions at work?

And I'm not saying that Gramm is right and Americans are 'whiners' but I think there is validity to the idea that many, sadly, don't want to be grounded in reality.

Bryan,

I'm not sure what reality is. But I sure wouldn't like it to be defined by under regulated investment banks and hedge funds bent on gaming the system.

Indy,

But won't it get manipulated anyway? I don't see their hand as invisible right now but a deliberate influence. At least with transparency, you can see the effects of the investments banks and hedge funds.