http://seekingalpha.com/article/220132-shiller-now-sees-double-double-dip?source=hp_wc

For months now, Robert Shiller, Yale University Economics Professor and co-creator of the Case-Shiller Home Price Index, has been calling for a double-dip for home prices. Now he’s doubled up on that forecast, citing 50-50 or better odds of a double-dip recession for the U.S. economy as detailed in this report at Marketwatch.

The U.S. economy has a “significant likelihood” of entering a double-dip recession if the government doesn’t step in to help the unemployed, economist Robert Shiller told MarketWatch News Break on Wednesday.

The Yale University professor and author of the best-selling book “Irrational Exuberance” pinned the probability of a double-dip recession at more than a 50-50.

Shiller pointed to the nation’s stubbornly-high unemployment as a root cause of lingering economic woes. And with the Federal Reserve running out of bullets to fight a second recession, he urged Congress to join the battle and focus on putting people back to work.

“Beyond the Fed, I’d like to see the government take a renewed stimulus package focused on creating jobs [and] on activities that involve a lot of people,” Shiller said.
…
“The Fed’s latest statement shows they’re on this, but I’m not so sure Congress is on this,” said Shiller. “There is significant likelihood of [a second recession] if the government doesn’t do something. I’m worried [unemployment] is not going to self-correct.”

It will certainly be an interesting period ahead in the run-up to the November elections, now less than three months away. Recall that the entire nation appeared to be in limbo in late-2008 while markets tanked and economic indicators took a decided turn for the worse before and after the huddled masses went to the polls.