problem with echo prompting in ghci (visible in emacs)

ghci echoes all of my input in emacs, when run via haskell-mode or via "M-x shell", which then confuses various useful haskell-mode features. I built it from sources. At the time I didn't have libedit-dev, so today I installed libedit-dev (version 2.11~20080614 on ubuntu), did a clean make & install, and I get exactly the same behavior. Does anyone have experience in getting through this problem? Willing to help me out? Thanks, - Conal