The Benefits of Bubbles(stratechery.com)
14 pointsby jv_dh21 hours ago2 comments
  • cactacea14 hours ago
    "Bubbles are good because they leave pieces for others to pick up for free" has to be one of the most completely insane and morally bankrupt economic ideas I've ever heard. This only makes sense if you take a fully individualist, zero-sum perspective and entirely disregard all other perspectives. Nevermind the opportunity cost.

    As far as I'm concerned there is no daylight between this idea and someone fighting safety measures because "trainwrecks leave free parts behind for me to pick up and build my own trains out of".

    • bobsmooth14 hours ago
      I have no moral qualms with investors losing money if it means the rest of society benefits. Sam spending billions of other people's money so that chinese researchers can make chatgpt clones for cheap is a net benefit for society.
    • dahrkaelan hour ago
      everyone is patiently waiting for the tsunami of cheap used GPUs once the bubble pops
  • zerosizedweasle21 hours ago
    Yeah but this is ignoring how if it becomes out of control it drinks everyone else's milkshake and large parts of the economy go into recession while the bubble keeps interests rates artificially inflated. This current bubble is a vampire that is hurting more Americans than helping. Hurting them badly.
    • snovymgodym15 hours ago
      Is it even responsible to cut interest rates now given tariff inflation?
      • zerosizedweasle15 hours ago
        Tariffs make the problem worse but it's doesn't do anything to what the bubble is doing. It is keeping interest rates way abnormally high for how most people are economically. The tariffs make it worse. A significant portion of Americans are barely hanging on economically, have been like that for the last 2 years but the bubble has made it impossible to see until recently when the evidence has become overwhelming. Investors are stealing money from the real economy.