I wasn't really too concerned when Web 1.0 crashed. It only made sense. An online petfood company can't spend it's way into tens of millions in debt and still be valued at hundreds of millions on the exchange. So they had to go. But what's happening today, worries me an awful lot.
What we are seeing today is the market correcting for the American "way of life". Living with massive debt has become the norm in American society, and eventually the bill comes due.
That wouldn't worry me so much were it not for the fact that 2/3rds of our nation's economy is consumer spending. We don't manufacture anything anymore. We just buy stuff and go into debt. The only thing we do now is coordinate moneys and build soft value products. The inability for people to go into increasing debt because of the lack of liquidity in the markets is going to drop consumer spending to the ground. And the revisions Bush made to the bankruptcy laws is going to keep people from coming out of debt which will further depress spending.
Even if you aren't in a company that is directly consumer facing, you probably service a company that has a consumer face. And when your customers money dries up, so does you money, and your jobs. And that could mean a really bad debt/job loss spiral across many industries. This could be really, really bad.
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