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those who are smart and have deplorable cash
You can hate the rules of the game but unless you are in a position of power to change them, best you can do is understand the game and take advantage when you can.
We have lurched from bubble to bubble for at least thirty years, probably more. Given that the stock market is at or near all time highs in part due to the AI Bubble, at some point market will crash / correct, government will pick winners and losers (via select bailouts), average joes will get screwed (again) rinse and repeat.
The only good thing is, everytime the market cycles, it never goes back to zero, so my 401(k) balance is healthy. If anything, the crashes are buying opportunities.cor those who are smart and have deplorable cash on the sidelines.
You can hate the rules of the game but unless you are in a position of power to change them, best you can do is understand the game and take advantage when you can.

We have lurched from bubble to bubble for at least thirty years, probably more.
Risk transfer to investors
We have lurched from bubble to bubble for at least thirty years, probably more. Given that the stock market is at or near all time highs in part due to the AI Bubble, at some point market will crash / correct, government will pick winners and losers (via select bailouts), average joes will get screwed (again) rinse and repeat.
2) Asset inflation – All that cash chases limited assets, pushing prices far beyond fundamentals. (“Free money, let’s party, buy now or be priced out forever”)
3) Risk transfer to investors – The originators cash out early, while investors are sold the dream of endless returns. (“I win now, you hold the bag.”)
4) Default wave when reality sets in – Prices correct, borrowers can’t pay, and the whole structure unwinds. (“Too bad - so sad, but rich get bailed out”)
This pattern held true every time:
- Savings and Loan Crisis
- Dot-com bubble
- Enron
- Housing bubble (Patrick started this site back then)
- Global financial crisis
- Bernie Madoff
- Tech unicorn boom
- For profit college scams
- Covid stimulus and PPP scams (Trump is jerk for that one)
- 2021 meme stocks
- Crypto to the moon
- pandemic housing bubble
- used car loan bubble
- Obamacare insurance subsidies bubble
- economy ran on paying businesses to service illegals bubble
These are just the once I remember, there's probably way more than that. But I come to realize our entire economy is ran on financial scams, from one scam the next, from one bubble to the next.