(Replying to PARENT post)
That's supported by the observation in the article that companies are not investing much capital in improving productivity.
If you've ever seen video of a Foxconn factory you've seen the rows of people carefully placing ICs onto circuit boards. In fact, there are machines to do that. They're called pick and place machines[0]. They've existed for many years. But labor in China is cheap enough that it often makes more sense to pay humans to do it manually than to invest in automation.
๐คjordanb๐9y๐ผ0๐จ๏ธ0
(Replying to PARENT post)
Also, real wages are declining. After a point, working harder to make the c suite and Wall Street richer begins to seem pointless.
๐คcarsongross๐9y๐ผ0๐จ๏ธ0
(Replying to PARENT post)
Remember, the current Silicon Valley boom started in the mid-2000's due to the collapse of costs of IT, with the advent of cheap Internet and cloud computing, not because of low interest rates. The cost of building capital got so low from 1999 people were doing it in their parents basements eating ramen.