U.S. markets closed
  • S&P 500

    3,825.33
    +39.95 (+1.06%)
     
  • Dow 30

    31,097.26
    +321.83 (+1.05%)
     
  • Nasdaq

    11,127.84
    +99.11 (+0.90%)
     
  • Russell 2000

    1,727.76
    +19.77 (+1.16%)
     
  • Crude Oil

    108.46
    +2.70 (+2.55%)
     
  • Gold

    1,812.90
    +5.60 (+0.31%)
     
  • Silver

    19.85
    -0.50 (-2.44%)
     
  • EUR/USD

    1.0426
    -0.0057 (-0.54%)
     
  • 10-Yr Bond

    2.8890
    -0.0830 (-2.79%)
     
  • GBP/USD

    1.2103
    -0.0072 (-0.59%)
     
  • USD/JPY

    135.1750
    -0.5530 (-0.41%)
     
  • BTC-USD

    19,140.17
    -79.30 (-0.41%)
     
  • CMC Crypto 200

    420.84
    +0.70 (+0.17%)
     
  • FTSE 100

    7,168.65
    -0.63 (-0.01%)
     
  • Nikkei 225

    25,935.62
    -457.42 (-1.73%)
     

Shiller on risk: 'There's something about the Donald Trump experience'

·Senior Writer/Chief-of-staff

American economist and 2013 Nobel Laureate Robert Shiller thinks that the presidency of Donald Trump has led Americans to grow more accustomed to risk.

“There’s something about the Donald Trump experience,” Shiller said on Yahoo Finance’s Market Movers. “He models risk-taking behavior. … The conclusion people are drawing is: You don’t have to be that careful. You can survive. If you say something that turns out to be wrong, it doesn’t matter.”

Trump has made over 5,000 false or misleading claims since taking office, according to the Washington Post. Recently, Trump denounced his own government’s death toll from Hurricane Maria in Puerto Rico as a move by the Democrats to make him look bad, without citing any evidence of a lower death count or politicking.

U.S. President Donald Trump delivers remarks during a Congressional Medal of Honor Society reception at the East Room of the White House September 12, 2018 in Washington, DC. President hosted a reception to honor Medal of Honor recipients. (Photo by Alex Wong/Getty Images)
U.S. President Donald Trump delivers remarks during a Congressional Medal of Honor Society reception at the East Room of the White House September 12, 2018 in Washington, DC. President hosted a reception to honor Medal of Honor recipients. (Photo by Alex Wong/Getty Images)

At the same time, the president’s apparent Teflon to slough off scandals, conflicts of interest, evidence of incompetence, and other issues that would doom traditional political figures is well documented.

Shiller says this mindset is reflected in the market, which he considers overvalued.

“I think Trump encourages us to be more risk-taking” when it comes to investments, said Shiller.

Shiller’s hypothesis that this thinking may have seeped into the public consciousness.

Ethan Wolff-Mann is a writer at Yahoo Finance focusing on consumer issues, retail, personal finance, and more. Follow him on Twitter @ewolffmann.

Read more: Where Americans get their news on social media (and why that’s a problem)