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by nostrademons 4018 days ago
The numbers (in startups, at least) are much, much smaller than 2008. Total VC funding was about $48B in 2014 [1]. By contrast, the subprime mortgage in 2007 was $1.3T [2]. The current student debt loan burden is about $1.2T [3].

I predict that the coming tech crunch will be a sideshow in much bigger chaos caused by the effects of rising interest rates on newly-minted college grads. We live in a bubble in Silicon Valley; across most of the country, youth employment never really ticked upwards. If interest rates go up, I think we'd start to see widespread non-payment of student loans and possible political unrest. That's much scarier than a few startups going belly-up.

[1] http://nvca.org/pressreleases/annual-venture-capital-investm...

[2] https://en.wikipedia.org/wiki/Subprime_mortgage_crisis#Subpr...

[3] http://www.forbes.com/sites/specialfeatures/2013/08/07/how-t...

1 comments

Upvote for the term "tech crunch"