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The first bubble was a catastrophe because it involved public money. The second bubble is going to be a headache because it involves private money. But nonethel
by Goladus 19y ago
The first bubble was a catastrophe because it involved public money. The second bubble is going to be a headache because it involves private money. But nonetheless when the value of something is way more than the intrinsic value, it's a bubble.
It's improperly termed "A bubble" and every time someone calls it that, it will only make the particular headache worse. When people lose money on bad ideas, that'll hurt, but it'll happen on an individual basis. Calling Facebook's valuation a bubble is like Chicken Little saying the sky is falling. If enough people really start believing Chicken Little, there will be problems; but the sky isn't going to fall.
- alaskamiller 19y agoYou're right. Everything is a-okay!
- sabat 19y agoObviously Goladus doesn't know about all the layoffs in the tech industry over the past year. Everything is not a-okay, and the scores of programmers sitting at the freeway onramp at University Avenue holding "Will Code for Food" signs should be a lesson to all of us: don't enjoy prosperous times, because they're secretly a bubble that's out to get you.
- drusenko 19y agomaybe you can direct all those "will code for food" programmers this way. i don't know of many startup companies who aren't trying to hire...
- cstejerean 19y agothere's a reason they'll code for food. if they were competent they would code for stock options. (except that you could go hungry trying to eat your stock options)