Who Says Bubbles Aren’t Good?

Niccolo Pantucci and the three reasons bubbles are positive for the economy:

Firstly, bubbles are often indicative of big technological breakthroughs who’s impact we cannot fully predict. The eventual winners in these emerging markets are unclear, and often difficult toAforesee. The most positive way to see speculative investing is: free enterprise’s way of transforming economies by encouraging growth in new markets.

Secondly, the cost of startups (particularly in software) is so low at the moment, that it has encouraged a new age of pioneering entrepreneurship allowing more ideas, to flourish simultaneously.

Thirdly, and this relates to both of the above, the allocation of resources that comes about during a heated market (to give it another name!), moves capital and people away from less energetic and growing industries and into new growth ones.APerhaps, the equivalent during this current boom will be greater investment in mobile data transfer hardware, that will yield a much stronger network for future decades.



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Posted: December 6th, 2010
at 11:43pm by Koookiecrumbles

Categories: too good to be true,web,business

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