Exactly. Most of these companies are in great shape. But there will be a few where investors with preferred stock will pull out, resulting in stifled growth and

Exactly. Most of these companies are in great shape. But there will be a few where investors with preferred stock will pull out, resulting in stifled growth and agility. For highly competitive and Thielesque-monopoly situations that might spell defeat, resulting in loss of faith from common stock holders as well. Lots of value will be lost in one place, but that's more a result of scale, not artificial inflation. Moreover, it will not signal a bubble burst for the rest of the industry. I wish it could even promote less speculative behavior.