Not really, all the gains since then have barely kept up with inflation. Once you factor in the declining dollar, there is much more money to be made in the global market.

So, tell me what happened if you shorted the US market starting in 2002. I’m pretty sure one would be better off long in US equities since 2002 than short, and that’s whether you live in San Diego, Paris or Hong Kong or buy your everyday stuff in rupees or kroners.

Also, I’ll take your argument to another erroneous conclusion : If you factor in the decline of the dollar, then housing is not overpriced. In fact, as measured against gold, housing is flat since 2000.