Tech Sector Cash Hoarding
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@scottalanmiller said:
Norway is seeing this problem. I was speaking to locals about this and how much they have issues competing with Silicon Valley because everyone holds onto their money causing it to deteriorate rather than investing in start ups and new ideas.
Yeah, I think this is common outside of Silicon Valley, internationally. I was reading an article not too long ago about the booming startups in Palestine (probably not the safest of work environments I'd imagine, but thriving nonetheless). I'm sure they run into this as well. You've basically got the top 1% of the top 1% (Apple, Google, etc..) holding on to all the money. It's crazy. Saving for a rainy day is one thing, but hoarding GNP's-worth of money is probably not good for anyone except the hoarder. Eh.. I have to leave this stuff to the economists lol.
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@AVI-NetworkGuy said:
Yeah, I think this is common outside of Silicon Valley, internationally. I was reading an article not too long ago about the booming startups in Palestine (probably not the safest of work environments I'd imagine, but thriving nonetheless).
Not the safest, but safer than Silicon Valley (literally.)
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@scottalanmiller said:
@AVI-NetworkGuy said:
Yeah, I think this is common outside of Silicon Valley, internationally. I was reading an article not too long ago about the booming startups in Palestine (probably not the safest of work environments I'd imagine, but thriving nonetheless).
Not the safest, but safer than Silicon Valley (literally.)
You keep saying these things.. I just can't see it - but then again I rarely read anything that isn't on the news about these places... and the new only reports about all of the Americans that are getting beheaded or kidnapped in these places, never about the billions of visitors that visit without incident, assume there are billions who visit without incident.
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@Dashrender said:
You keep saying these things.. I just can't see it - but then again I rarely read anything that isn't on the news about these places... and the new only reports about all of the Americans that are getting beheaded or kidnapped in these places, never about the billions of visitors that visit without incident, assume there are billions who visit without incident.
Silicon Valley, guy was beaten down in a Wholefoods by the store guards for no reason. That's current life in SV.
Palestine is famously safe. Overall crime in Israel is so low that the most dangerous part of visiting the country is getting to the US airport.
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@Dashrender said:
....and the new only reports about all of the Americans that are getting beheaded or kidnapped in these places, never about the billions of visitors that visit without incident, assume there are billions who visit without incident.
In Israel? When has that ever happened?
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Hoarding? Is this really hording?
@DustinB3403 said:
If there isn't much worth investing in, why spend more on the things you already have?
I completely agree with this - why is their holding onto capital a bad thing if they can't find things they consider worth investing in?
@AVI-NetworkGuy said:
Yeah, I think this is common outside of Silicon Valley, internationally. I was reading an article not too long ago about the booming startups in Palestine (probably not the safest of work environments I'd imagine, but thriving nonetheless). I'm sure they run into this as well. You've basically got the top 1% of the top 1% (Apple, Google, etc..) holding on to all the money. It's crazy. Saving for a rainy day is one thing, but hoarding GNP's-worth of money is probably not good for anyone except the hoarder. Eh.. I have to leave this stuff to the economists lol.
If the startups can't convince those with the money to spend the money, how is that the big companies fault? Are we staying that the mega corporations have become timid and weak and unwilling to take risks anymore? that seems unlikely. They all want to continue to see their companies grow, the whole if you're growing your dying thing (which I still don't subscribe to - I lack the understanding to make me agree with that statement).
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Israel is a heavily visited country and a weird one where it is essentially impossible to identify who is or isn't an American (do the the crazy level of dual citizenships there.) The number of tourists there coupled with the fact that you never hear anything bad from there except for internal clashes where deaths are normally in the ones and twos.... it's pretty crazy safe. Especially if you aren't a Palestinian. The only people ever at risk are Palestinians themselves.
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@Dashrender I'm not really saying holding on to all that money is a bad thing, just that the sheer amount of it is crazy. Since I'm not a macro-econ professor\expert, I can't really know whether keeping all of that money out of circulation is a bad or good thing. That's all
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@AVI-NetworkGuy said:
@Dashrender I'm not really saying holding on to all that money is a bad thing, just that the sheer amount of it is crazy. Since I'm not a macro-econ professor\expert, I can't really know whether keeping all of that money out of circulation is a bad or good thing. That's all
Long term it is considered crippling. Causing whole countries to fail.
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@scottalanmiller said:
Long term it is considered crippling. Causing whole countries to fail.
The US companies doing this are causing other countries to fail, or companies, the wealthy within those country lack of spending/conserving capital is what is causing it?
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@Dashrender said:
@scottalanmiller said:
Long term it is considered crippling. Causing whole countries to fail.
The US companies doing this are causing other countries to fail, or companies, the wealthy within those country lack of spending/conserving capital is what is causing it?
It hurts our own economy, but the US does it less then nearly any other country which is where a lot of our wealth comes from.
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@scottalanmiller said:
@Dashrender said:
@scottalanmiller said:
Long term it is considered crippling. Causing whole countries to fail.
The US companies doing this are causing other countries to fail, or companies, the wealthy within those country lack of spending/conserving capital is what is causing it?
It hurts our own economy, but the US does it less then nearly any other country which is where a lot of our wealth comes from.
So you're saying, while it's bad that these huge mega companies have these huge stock piles of money, there are many other countries where, while the amount of stockpiled cash is significantly less, is hurting their own countries significantly more? huh.. didn't know that.
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@Dashrender said:
@scottalanmiller said:
@Dashrender said:
@scottalanmiller said:
Long term it is considered crippling. Causing whole countries to fail.
The US companies doing this are causing other countries to fail, or companies, the wealthy within those country lack of spending/conserving capital is what is causing it?
It hurts our own economy, but the US does it less then nearly any other country which is where a lot of our wealth comes from.
So you're saying, while it's bad that these huge mega companies have these huge stock piles of money, there are many other countries where, while the amount of stockpiled cash is significantly less, is hurting their own countries significantly more? huh.. didn't know that.
Yes, Norway and Ireland are well known for this. A culture of hoarding.
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@scottalanmiller said:
@Dashrender said:
@scottalanmiller said:
@Dashrender said:
@scottalanmiller said:
Long term it is considered crippling. Causing whole countries to fail.
The US companies doing this are causing other countries to fail, or companies, the wealthy within those country lack of spending/conserving capital is what is causing it?
It hurts our own economy, but the US does it less then nearly any other country which is where a lot of our wealth comes from.
So you're saying, while it's bad that these huge mega companies have these huge stock piles of money, there are many other countries where, while the amount of stockpiled cash is significantly less, is hurting their own countries significantly more? huh.. didn't know that.
Yes, Norway and Ireland are well known for this. A culture of hoarding.
Is it because of to many failures, so people feel the need to save for bad time?
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@Dashrender said:
Is it because of to many failures, so people feel the need to save for bad time?
No idea, maybe. The great depression generation famously lost all of their money to inflation because they hoarded rather than investing. It's a weird paranoia that causes financial recklessness while feeling oddly like being conservative.
Same bad emotional reaction that causes people to buy bonds instead of stocks.
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@scottalanmiller said:
@Dashrender said:
Is it because of to many failures, so people feel the need to save for bad time?
No idea, maybe. The great depression generation famously lost all of their money to inflation because they hoarded rather than investing. It's a weird paranoia that causes financial recklessness while feeling oddly like being conservative.
Same bad emotional reaction that causes people to buy bonds instead of stocks.
People seem to forget to invest in ammunition... that is the best investment in a collapsing economy. Pieces of paper won't bring you dinner once they are only worth the paper on which they were printed.
