Welcome back to The Forecast from Bloomberg Weekend, where we help you think about the future — from next week to next decade.
This weekend we’re looking at the economics of bubbles — plus lots and lots of prediction market news.
What Would an AI Crash Look Like?
Bubbles are hard to identify and even harder to time, but they aren’t hard to explain. A new technology or some other catalyst raises investors’ expectations, prices rise, and speculators pile in believing that they can resell the asset to someone else for even more money later.
The key is that a ...