The stock market does not reflect the reality - in fact, you might say the market is coming back to reality. There’s been small layouts but to call it a “meltdown” is a bit much.
I really think a lot of businesses have been propped up by the bull market the last 12-14 years. We are at a point where we are scraping the bottom of the barrel of ideas because all the fertile ideas for "how to use the internet" have been consumed. The internet is interesting in that it democratized creating businesses in probably a way never seen before, a kid with no life experience could teach themselves programming and invent a billion dollar company, how wild is that.
The problem is the timing. While workers are resisting return-to-office and startups offer equal comp for remote within the US, tech is taking a big enough downturn that if you started your job exactly a year ago you'll be making less this year than last in real dollars before taking into account inflation. A great time to be a startup that just closed Series A with remote positions though, which is why being bearish on California is not the same as being bearish on tech.
Look at the prices of paypal, square, netlix, roblox, affirm, coinbase, etc they are all down at least 70% from 6 months ago with some down 90%, if that is not a full meltdown I don't know what is :)
per the nasdaq's site my statement is verbatim what they also say:
> Refers to events like steep fall in stock markets, decline in asset values, corporate losses etc. that hurt the economy and lead to losses for investors.
Had you said the Nasdaq was entering a meltdown, I'd have thought it a bit hyperbolic but wouldn't have disagreed.
Your claim was that tech is in "full meltdown" and you were talking about falling state revenues for California would drop so dramatically that "the state will face a reckoning unlike any its ever seen".
In my opinion, large tech company stock declines won't have much impact on California revenues. Only their relocations would. There's no "full meltdown" or anything like it happening to "tech". On the contrary, I'd bet that each of the MANGA companies with the possible exception of Netflix grow their revenue in the coming year and that their employees will pay more in taxes to California in 2022 than they did in 2021.
Let's check back in a year and see how our predictions fared :)
The stock market does not reflect the reality - in fact, you might say the market is coming back to reality. There’s been small layouts but to call it a “meltdown” is a bit much.