But that’s the great thing about the market, there still have to be buyers and the public is getting wise about these “semi-fraudulent” IPOs (see WeWork). This is exactly how the market is suppose to work.
Markets can’t really get smarter over time as they represent all investors. From young teenagers to experienced institutional investors. You just get cycles of people learning the same lessons over again, but that doesn’t last long term just at best a few decades.
You're conflating evolution with education. Education also varies from one generation to the next as the educators learn from their own experience, or are imposed upon by government in curricula and standardisation.