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Michael Perkins's Reviews > Internet Bubble, The
Internet Bubble, The
by
by
Michael Perkins's review
(Review from the author)
Oct 01, 2012
(Review from the author)
Read 2 times. Last read April 2019 to April 20, 2019.
An international bestseller
It was translated into Japanese, Mandarin, and German, among other languages.
-------------------
Deja Vu (5/2022-2024)...
The crypto bubble has popped. Crypto fans had a fun ride, powered by exuberant risk taking in an era of low interest rates. But now the car is coming down the other side of the roller coaster. As fear and interest rates spike, investors are selling off their positions and billions of dollars of value are being erased from the industry. By one estimate, more than $200 billion of stock-market wealth has been destroyed within crypto alone, in just a matter of days. The bursting of the crypto bubble seems quite reminiscent of the dot-com bubble of 2000, when the Nasdaq crashed and the effects reverberated throughout the economy, wiping out retail investors and pulling down business investment .
-The Atlantic
============
The Daniel Kahneman book "Thinking, Fast and Slow," came out in 2011. I've read it 3x. On the first read, there was this moment of epiphany about how our book, "The Internet Bubble," was essentially a work of behavioral economics, which Kahneman champions. Unlike Alan Greenspan, for example, we factored in the irrational in human nature and rejected classical market economic assumptions. We also did the math.
===========
I coauthored this book and wrote 90% of it. It was a contrarian bestseller, on the Business Week list for six months, in which only about 1% agreed with us. But we were right. Our forecast six months before the tech stock bubble popped came true, as my brother liked to say the day before our taxes were due, April 14, 2000.
This published review succinctly shows the math that proved our thesis.
Our book was once a forecast, but is now a case study. And still required reading at Stanford.
This dynamic is worth understanding because when other financial bubbles, such as bitcoin come along, you can recognize them immediately and avoid getting burned.
It seems many "reviewers" below have missed this point entirely, to their peril.
====================
"It has now become clear that the great run up in Internet stocks was a bubble. But in the middle of the bubble who had the courage to say so at the time, and to write a book so arguing. The answer is Anthony B. Perkins and Michael C. Perkins, writers for the investment magazine Red Herring. Their book is titled The Internet Bubble (Harper Business, 1999)"
-Questia Magazine
==========
WSJ: crypto became a libertarian scam
/author_blog...
It was translated into Japanese, Mandarin, and German, among other languages.
-------------------
Deja Vu (5/2022-2024)...
The crypto bubble has popped. Crypto fans had a fun ride, powered by exuberant risk taking in an era of low interest rates. But now the car is coming down the other side of the roller coaster. As fear and interest rates spike, investors are selling off their positions and billions of dollars of value are being erased from the industry. By one estimate, more than $200 billion of stock-market wealth has been destroyed within crypto alone, in just a matter of days. The bursting of the crypto bubble seems quite reminiscent of the dot-com bubble of 2000, when the Nasdaq crashed and the effects reverberated throughout the economy, wiping out retail investors and pulling down business investment .
-The Atlantic
============
The Daniel Kahneman book "Thinking, Fast and Slow," came out in 2011. I've read it 3x. On the first read, there was this moment of epiphany about how our book, "The Internet Bubble," was essentially a work of behavioral economics, which Kahneman champions. Unlike Alan Greenspan, for example, we factored in the irrational in human nature and rejected classical market economic assumptions. We also did the math.
===========
I coauthored this book and wrote 90% of it. It was a contrarian bestseller, on the Business Week list for six months, in which only about 1% agreed with us. But we were right. Our forecast six months before the tech stock bubble popped came true, as my brother liked to say the day before our taxes were due, April 14, 2000.
This published review succinctly shows the math that proved our thesis.
Our book was once a forecast, but is now a case study. And still required reading at Stanford.
This dynamic is worth understanding because when other financial bubbles, such as bitcoin come along, you can recognize them immediately and avoid getting burned.
It seems many "reviewers" below have missed this point entirely, to their peril.
====================
"It has now become clear that the great run up in Internet stocks was a bubble. But in the middle of the bubble who had the courage to say so at the time, and to write a book so arguing. The answer is Anthony B. Perkins and Michael C. Perkins, writers for the investment magazine Red Herring. Their book is titled The Internet Bubble (Harper Business, 1999)"
-Questia Magazine
==========
WSJ: crypto became a libertarian scam
/author_blog...
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Internet Bubble, The.
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Reading Progress
Finished Reading
(Other Hardcover Edition)
October 1, 2012
– Shelved
April, 2019
–
Started Reading
April 20, 2019
–
Finished Reading
July 20, 2020
– Shelved
(Other Hardcover Edition)
Comments Showing 1-6 of 6 (6 new)
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message 1:
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Dmitri
(new)
Aug 07, 2021 06:00AM
Very interesting, Michael. Do you sense a 'bubble' in stock valuations now?
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yes, there's a stock bubble. They're partying like it's 1999, which is the year I wrote my book. The market is highly speculative and overvalued. Fed policy is feeding it. The mantra is always "it's different this time"
It was said before the market crash of 1929 and when the tech bubble was at its peak. But you still have to look at fundamentals. Graham & Dodd.
![Terence M - [Quot libros, quam breve tempus!]](https://images.gr-assets.com/users/1712357414p1/6658001.jpg)
Michael, Thanks for your note and a late "well done!" on the prescience of your book - the reviews were very interesting.
Do you see any relationship with today's "Social Media" boom?
I know it's way beyond "bubble" status, but will it be a continuing expansion, particularly noting the power held by the major players?
How about the billionaires/trillionaire (almost) plans for space travel? A long-term development?
The "rise and fall of the Segway is an amazing story, one of which I was only vaguely aware. I certainly had nor idea of the insane 'secrecy' behind it all!
Cheers
Artificial intelligence has finally hit a tipping point after decades of research. It will have the biggest impact of any tech going forward./review/show...
I’ve looked into crypto and failed to get it. I’ve seen the mining computers and crazy returns. Is it an unregulated casino operation or a pseudo currency trading device. Help me understand.
Crypto is only worth what people are willing to pay for it, but there’s no underlying value. No cash flow. Nothing to back it. Very risky form of gambling. It’s not a true investment.When people wanted to buy Teslas using cryptocurrency, Elon Musk said no. What does that tell us?
