Government is not the solution, government is the problem. There is no such thing as a healthy functioning regulatory body - they all regulate too much and some should not exist. Don't call your legislator because the most dangerous words in the English language are, "I'm from the goevrnment and I'm here to help."
This bubble is caused by excess competition. There are 4 large companies who believe that a large new market is being created so each is investing large amounts without any evidence that there will be a single winner that dominates the future market. None of these companies has anything remotely resembling a monopoly except for Amazon in online retail.
In 2005, the CEO of Intel tried to buy Nvidia for $20b but the board vetoed his decision. The moral of the story is that the board's only tasks are to hire and fire the CEO. The board should not manage the company and they should fire the CEO when he makes a single extremely bad decision or set of smaller bad decisions.
It’s highly unlikely Nvidia would have taken the trajectory they did if Intel had purchased them, so not buying them mah have been a good decision for Intel as well.
Interest rates aren't high, they're manipulated by the government and they're too low. When businesses, governments, and individuals increase their borrowing, as they are now, that means that the cost of borrowing, the interest rate, is too low.
>When businesses, governments, and individuals increase their borrowing, as they are now, that means that the cost of borrowing, the interest rate, is too low.
That's not necessarily the case. Credit expansion comes with healthy growth as well.
By analogy, think about the government. They've been printing money since August 1971, the price of gold has increased from $35 to $4000, and people still accept dollars rather than gold, and even Switzerland sold their gold because they believe that paper money is better. THe party can last forever!
Does democracy help or hinder free markets? In the USA, half the people pay no income tax but they vote on how income tax revenue is spent. In contrast, I don't vote in Microsoft elections because I own no shares.
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