• GreenShimada@lemmy.world
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    6 days ago

    If you didn’t read the article, the concern is that mid-sized banks have done a lot of lending to outsized customers who have screwed them, and the market is taking this traditional indicator of a traditional bubble, with all the same dynamics as 2008, as a signal of market instability.

    The AI circular economy is not entirely over-leveraged debt. Over-leveraged debt is a very traditional form of economic trouble, so it’s more clearly seen as “oooh, we got some shit going down here!”