4 ms·

The "free money" is going away, now that the Boomers are all retiring and taking their money out of the stock market. Interest rates are about to rise to 8-10%

The "free money" is going away, now that the Boomers are all retiring and taking their money out of the stock market. Interest rates are about to rise to 8-10% and stay there for a few decades, if all goes well. This will mark the beginning of an immense era of innovation as all of that talent floods the market and is put to far more productive use.

badpun 3y ago
Innovation, at least in our sector, requires capital investment. Hardly any startup can bootstrap. At high interest rates, and with people retiring and moving their money into safe assets, there will be little appetite to fund startups in the coming years. At least that's the theory that Peter Zeihan is presenting on his youtube channel.
- mikewarot 3y ago
  Innovation happens in personal projects that eventually get commercialized.
  - badpun 3y ago
    And without commercialization, i.e. without millions to pay people to code and flesh out the actual product, there is little more that a cool PoC.