(Expanded from April 9, 2025)
"We think they are days from failure. They think it is a temporary problem. This disconnect is dangerous."
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Q2 continues to unwind some of the record gains in equity markets as stocks fell for a second straight day. Tesla deliveries falling short ...
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What does a Friday morning commute, a box of donuts, and a falcon have in common? For Lyft CEO David Risher, they were the ingredients that ...
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It was a slow day for economic news, so we were left to wonder about this 'serious national security threat' which allegedly has som...
Edward Quince's Wisdom Bites: The Banal Alibi
Human Reticence and the Poetry of the "Why" The modern institutional landscape operates under a comfortable, mechanical delusion:...
what does Edward Quince think of RPOs and circularity in the AI/highly levered data center sector?
ReplyDeleteRPO's were innovative in the NFL a few years ago, less so now, but still can work well with the right personnel grouping....sorry, you wanted Remaining Performance Obligations...and in the long-run isn't the entire economy a circular flow model (at least accounting wise)? Edward is smart enough (barely) not to venture outside his circle of competence, which does not include the intracies of data center deals...but he thinks the question behind the question boils down to a question of whether or not the AI/data center ecosystem is generating claims on future income faster than it's ability to generate that income...it's timing and whether the spend is "productive"...and who absorbs losses if it all fails to deliver?
ReplyDeleteEdward goes back to thinking about General Equilibrium models, which assumptions fail and why, opens up something by Keynes, who stabilizes the broken circle? Turns to Fisher for debt deflation, wonders what Minsky would think, does the circle just depend on asset prices and not income anymore? There's no precision in any of this, just uncertainty...where's the humility?