Paul B. Farrell: Too-big-to-fail mentality replays the dot-com bubble
By Paul B. Farrell,
MarketWatch
SAN LUIS OBISPO, Calif. (
MarketWatch) Facebook just joined a troubled club, warns the Economist. Now its just another endangered public company.
Yes, endangered. The number of public companies has declined 37% since 1997. The number of IPOs has dropped from 311 annually before 2000 to 99 the past decade. Meanwhile, the smart CEOs and the Super Rich are going private, to avoid government red tape restricting capitalism.
Over at BusinessWeek theyre warning investors that the growing number of cutesy mascots is a dangerous reminder of the dot-com booms irrational exuberance. Theyre also red flagging new reports that more Chinese investors are betting on U.S. start-ups. And feeding the flames.
Whats going on? Facebooks in trouble, thats what. Now in the crosshairs of public scrutiny, everybodys taking potshots. And the warnings are just beginning: .......................(more)
The complete piece is at:
http://www.marketwatch.com/story/how-facebook-could-destroy-the-us-economy-2012-05-22?link=MW_popular