Economists are now arguing that an AI bubble is *less* likely precisely because everyone won’t shut up about the possibility of an AI bubble.
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Economists are now arguing that an AI bubble is less likely precisely because everyone won’t shut up about the possibility of an AI bubble.
The logic goes like this: if we’re all hyper-aware of the risks, then our collective paranoia will stop the bubble from ever forming.
Which means, hilariously, that if you actually want the market to detonate in a proper dot-com-era fireball, you need to stop yelling “bubble” and start posting like a fully deranged optimist.
In other words, the fastest path to an AI bubble is to talk about how AI is flawless, will mint millionaires by the truckload, can never go down, and has ushered in a mythical new economy where fundamentals are for peasants.
Not a 'bubble,' but maybe an 'air pocket': Wall Street says it's time to reset the AI narrative
Two of Wall Street’s biggest firms say the AI boom isn’t a bubble, arguing real spending and earnings support the stock market rally even as near-term risks emerge.
Yahoo Finance (finance.yahoo.com)
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Economists are now arguing that an AI bubble is less likely precisely because everyone won’t shut up about the possibility of an AI bubble.
The logic goes like this: if we’re all hyper-aware of the risks, then our collective paranoia will stop the bubble from ever forming.
Which means, hilariously, that if you actually want the market to detonate in a proper dot-com-era fireball, you need to stop yelling “bubble” and start posting like a fully deranged optimist.
In other words, the fastest path to an AI bubble is to talk about how AI is flawless, will mint millionaires by the truckload, can never go down, and has ushered in a mythical new economy where fundamentals are for peasants.
Not a 'bubble,' but maybe an 'air pocket': Wall Street says it's time to reset the AI narrative
Two of Wall Street’s biggest firms say the AI boom isn’t a bubble, arguing real spending and earnings support the stock market rally even as near-term risks emerge.
Yahoo Finance (finance.yahoo.com)
@atomicpoet I understand the problem is that the chips deprecate in value too soon, because every other week there is an upgrade. Banks and financiers are reluctant to finance this.
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@atomicpoet I understand the problem is that the chips deprecate in value too soon, because every other week there is an upgrade. Banks and financiers are reluctant to finance this.
@ericdere They sure haven’t depreciated in the past two years. Now RAM is more expensive. -
Economists are now arguing that an AI bubble is less likely precisely because everyone won’t shut up about the possibility of an AI bubble.
The logic goes like this: if we’re all hyper-aware of the risks, then our collective paranoia will stop the bubble from ever forming.
Which means, hilariously, that if you actually want the market to detonate in a proper dot-com-era fireball, you need to stop yelling “bubble” and start posting like a fully deranged optimist.
In other words, the fastest path to an AI bubble is to talk about how AI is flawless, will mint millionaires by the truckload, can never go down, and has ushered in a mythical new economy where fundamentals are for peasants.
Not a 'bubble,' but maybe an 'air pocket': Wall Street says it's time to reset the AI narrative
Two of Wall Street’s biggest firms say the AI boom isn’t a bubble, arguing real spending and earnings support the stock market rally even as near-term risks emerge.
Yahoo Finance (finance.yahoo.com)
@atomicpoet Seems silly. Everyone was shouting that there was a bubble in tech stocks in 1999 too and that time they were right.
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@atomicpoet Seems silly. Everyone was shouting that there was a bubble in tech stocks in 1999 too and that time they were right.
@pre Not entirely silly. I live in a wildly expensive real estate market where talk of a bubble didn’t result in a pop. It resulted in a plateau.
Mind you, real estate is not as liquid as stocks. But my point is, directionally, it can happen.
I’ve written more about that here:
https://atomicpoet.org/notice/B0tEs1RKf956UiQjfk -
You’d think that, one of these days, economists would understand that they’re a descriptive social science, and not a predictive hard science.
Some day, maybe.
