Bitcoins are not a real investment; they are bets inside a casino. If the price goes back up, don't be fooled. In the parlance of popping investment bubbles, it's something called a 'dead-cat bounce.' People who are desperate to keep the game going rush back in, hoping to bring the price back up, but it never lasts.
Whether you're writing a horror show or a James Bond film, I think what bubbles beneath is interesting characterization. The colors that emerge through storytelling is what a dramatist does. There's always got to be something bubbling underneath that will erupt at some point.
When tulip mania dies down, all that remains are pretty flowers. When bubbles burst, nothing is left but soapy residue. But the Internet revolution, for all its speculative excesses, really is changing the world.
It's illegal to be gay in Little Rock - this is such a reality for so many people, but once people get to these bubbles of New York or L.A. or Boulder, Colorado, they forget.
You cannot have an asset that goes up in price 1% every month or 1% every six months or every day without people starting to start thinking it'll do the same tomorrow, so that's why these bubbles form.
Modern elites live in bubbles of liberal affluence like Ann Arbor, Brookline, the Upper West Side, Palo Alto, or Chevy Chase. These places used to have impoverished neighborhoods nearby, but the poor people got chased out by young singles living in group homes, hipsters, and urban homesteading gay couples.
I live a half mile from the San Andreas fault - a fact that bubbles up into my consciousness every time some other part of the world experiences an earthquake. I sometimes wonder whether this subterranean sense of impending disaster is at least partly responsible for Silicon Valley's feverish, get-it-done-yesterday work norms.
It's important for the Fed, hard as it is, to attempt to detect asset bubbles while they're forming.
Real laughter is spontaneous. Like water from the spring it bubbles forth a creation of mingled action and spontaneity - two magic potions in themselves - the very essence of laughter - the unrestrained emotion within us!
Investment bubbles and high animal spirits do not materialize out of thin air. They need extremely favorable economic fundamentals together with free and easy, cheap credit, and they need it for at least two or three years. Importantly, they also need serial pleasant surprises in such critical variables as global GNP growth.
The good part about getting older is you stop trying to prove anything to anyone, including yourself. All you are in the pursuit of is collecting experiences - beautiful, fragile little soap bubbles that you store in your heart, and every once in a while you pull one out and gaze at the delicate pictures it shows you.
What people don't realize is that China papered over its last two credit bubbles, those in 1999 and 2004. The banks were never bailed out - they just exchanged their bad loans for questionable bonds from quasi-state organizations.
My tendencies are much more the Henry James thing, where we sit in silence at the table for three minutes, and our whole lives are changed because of a revelation that never quite happens but almost bubbles to the surface.
