England great
Beckham revealed in a statement that Pearce, the head coach, had opted against selecting him as one of his three over-age players for the Olympics.
Shilton, England's most capped player with 125 appearances, believes Beckham would have struggled with the physical demands of competing at the Games.
"I've not been watching David play in the States but it's a different level of football over there," Shilton told
"
"David might play the first game well, but then the second game becomes a bit harder.
"He's been a fantastic player over the years, certainly when he was at his peak, but he's nowhere near the player he was.
"It would have been great from a publicity point of view, but
"You have to respect Stuart's opinion but I've always had the utmost respect for David as a person and a player."
Great Britain U23
Cleverley defends Premier League players
Tom Cleverley has denied Great Britain's Olympic heroes have set a standard for Premier League footballers to match.
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