Stocks Are a Better Investment Than Housing: Shiller

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Noted economist Robert Shiller, well-known for his analysis of the housing market, told CNBC on Tuesday that he thinks stocks are a better investment than real estate.

Asked to compared the two, he said in a "Squawk Box" interview, "If it's just an investment [not for living], I would say the stock market."

"Stocks for the long run—the two century-long history—show a lot of amazingly good performance for stocks," he added. "Maybe it won't be that good in the future, but I bet it's better than housing."

(Read More: What Slowdown? Home Prices Up Most Since 2006)

(Read More: Fast Rise In US Home Prices, Some Murmur Bubble)

In the decade—December 2002 to December 2012—home prices, as measured by the S&P/Case-Shiller 10-City Composite Index, yielded an annualized return of about 1 percent, while the S&P 500 Index gained just over 7 percent.

(Interactive Map: Tracking the US Real Estate Recovery)

Of course that comparison takes into account the historic housing collapse that began around 2008. The stock market also had a dramatic decline during the financial crisis, but has since recovered.

The S&P 500 Index finished at a record high close on Monday, while the Dow Jones Industrial Average ended the session 46 points away from its all-time high close.