Maybe you should read a little more. The point is that any kind of research that doesn't have immediate applicability is being drastically reduced in the private sector, and yet that basic research has some of the highest ROI over the long term. The booming tech industries of today are build on the R&D spending of decades past.
I don't think anyone can conclusively predict what effect this will have on the job market, or America's position in the global marketplace in decades to come, but it stands to reason that Wall Street's increasing focus on short-term profits is going to have some long-term effects. Do you disagree?
...Wall Street's increasing focus on short-term profits...
I'd love to see evidence of this fact.
To me, it certainly isn't obvious. There are various companies and products focused on profits at various stages. VC focuses on the long term. Assorted securitized consumer loan products (mortgage backed securities, etc) are also long term investment. HFT companies focus on the short term. There are various medium term investments as well.
Have you any evidence that there has been a shift from long term to short term investments?
VC focuses on the long term? Really? Where did you get that idea? What VCs do you know that aren't looking for 3-5 year complete "time horizons" for "liquidity events?"
Comments
Maybe you should read a little more. The point is that any kind of research that doesn't have immediate applicability is being drastically reduced in the private sector, and yet that basic research has some of the highest ROI over the long term. The booming tech industries of today are build on the R&D spending of decades past.
I don't think anyone can conclusively predict what effect this will have on the job market, or America's position in the global marketplace in decades to come, but it stands to reason that Wall Street's increasing focus on short-term profits is going to have some long-term effects. Do you disagree?
...Wall Street's increasing focus on short-term profits...
I'd love to see evidence of this fact.
To me, it certainly isn't obvious. There are various companies and products focused on profits at various stages. VC focuses on the long term. Assorted securitized consumer loan products (mortgage backed securities, etc) are also long term investment. HFT companies focus on the short term. There are various medium term investments as well.
Have you any evidence that there has been a shift from long term to short term investments?
[edit: just curious, why am I being downmodded?]
VC focuses on the long term? Really? Where did you get that idea? What VCs do you know that aren't looking for 3-5 year complete "time horizons" for "liquidity events?"