[oscargrouch]

Isnt the second model what is producing bubbles? the profits goes to the financial sector, and (sometimes) to the founder..

Companies with broken business model, or with no business model at all get overvaluated while companies with more traditional models are worth nothing these days. (Compare the prices for Instagram, Facebook.. with big companies like Nokia or Blackberry)

In times like this the best bet is to create private companies and not open it to the stock market at all like the old days..

The SV model may create instantaneous billionaires, but someone will have to pay for this wonderland(of a few) in the end..

and probably will be the government(aka the tax payers)

my question is: isnt this model broken in the long term? will it survive? who wins? who lose?