Re:The 'white-collar bloodbath' is all part of the AI hype m...
by lxgr on Saturday May 31, 2025 @11:31AM
(#44144906)
This is completely backwards. When interest rates are high, the expected returns of equity investments have to be even higher to justify the risk over risk-free fixed income assets.
And that's only the indirect effect on equity funding; debt funding just directly becomes more expensive.
And that's only the indirect effect on equity funding; debt funding just directly becomes more expensive.