News for hackers. Stuff that matters.

A comment on On-Demand Startups Are Hemorrhaging Tens of Billions a Year. Parent comment

Re:On-Demand Startups Are Hemorrhaging Tens of Billions a Year by HillaryBriss on Wednesday April 03, 2019 @03:09PM (#19566260)
> The concern being voiced is that monetary policy is diverting resources away from people who are known to make good long term decisions and towards people who have access to loans from the central bank.

A very interesting statement. I'd like to understand this cash path. Can anyone describe the flow of cash from the central bank to Silicon Valley VC firm? How exactly does this work?

Also do low central bank rates guarantee the kind of money losing VC investments we're seeing? Are their other central banks outside the US with low rates but no accompanying flurry of money-losing investments?

[ Parent | on HN ]
Re:On-Demand Startups Are Hemorrhaging Tens of Billions a Year by taxicabjesus on Thursday April 04, 2019 @02:20AM (#19569759)
The grandparent comment's specifics are off a bit, but I think the general principle --it takes money to make money -- concisely explains a good portion of the underclass' economic predicament.

I'm going to have a blog post about the economic situation that led me to taxi driving. The tl/dr is basically that they loaned me a car for 12 hours at a time. In the beginning I made enough to make it worth my while...

[ Parent | on HN ]