YouTube disallowing adblockers, Reddit charging for API usage, Twitter blocking non-registered users. These events happen almost at the same time. Is this one of the effects of the tech bubble burst?

  • cosmosaucer@reddthat.com
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    1 year ago

    Very interesting, thanks!

    Any chance you know of any papers, ideally academic, that go into this, for further reading?

    • bcron@lemmy.world
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      1 year ago

      I don’t know of anything academic but the first thing worth reading about is the Discounted Cash Flow model. It’s a valuation model that takes into account the time value of money (in a hypothetical 0% inflationary environment a dollar today is worth just as much as a dollar 10 years from now, and in a hypothetical incredibly inflationary environment a dollar today can buy far far more stuff than a dollar will in 10 years).

      That right there has a lot to do with the ebb and flow of growth stocks vs value stocks in regard to inflation. When there’s no inflation a company with poor earnings but very high revenue growth looks very appealing because the revenue growth outpaces the diminished value of future dollars, but in an inflationary environment, that kind of company becomes a huge gamble, because they might never be profitable and their revenue growth is getting whittled down by inflation.