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Ben Scharfstein
@scharf
I don't think big tech layoffs are because the companies got bloated, it's because rates went up. If the ROI (including opportunity cost of capital) on a marginal hire is positive they should be hired. As rates increase the opportunity cost of capital increases so this calculation changes.
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Edison
@edison
couple of other catalyst include changing consumer trends (as COVID back to normal) and drying up of venture capital.
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