The author is right about everything, taken in moderation. Fears of a tech stock collapse a la the Great Depression are a bit silly and chicken-littlish. Does the author care to point out that this unprecedented era of economic growth coupled with low inflation can be attributed entirely to these technology companies whose stocks are so wildly inflated. I'm sure he'd love to see P/E ratios around 8.0 as they may have been 40 years ago, however 40 years ago a little $1500 box couldn't do the work of 10 white-collar employees! The market is purely supply and demand. As long as their is supply in the form of cash, stocks will continue to rise. When the cash dries up, they will fall.
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The author is right about everything, taken in moderation. Fears of a tech stock collapse a la the Great Depression are a bit silly and chicken-littlish. Does the author care to point out that this unprecedented era of economic growth coupled with low inflation can be attributed entirely to these technology companies whose stocks are so wildly inflated. I'm sure he'd love to see P/E ratios around 8.0 as they may have been 40 years ago, however 40 years ago a little $1500 box couldn't do the work of 10 white-collar employees! The market is purely supply and demand. As long as their is supply in the form of cash, stocks will continue to rise. When the cash dries up, they will fall.