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To: Starboard

Yeah, but look at the price of oil. Oil was at historic lows from about 1992 to 1999, and began to skyrocket in 2001. 1999 was when the stock market began to show wear. 2000 was when it peaked and began to fall. I would argue that the stock market boom resulted from the low oil prices, and the dot coms went along for the ride. The dot coms were not enough in themselves to cause an economic boom. They were too small a piece of the economy. But oil fuels the entire economy.


27 posted on 07/14/2010 4:38:30 PM PDT by Brilliant
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To: Brilliant
I don't think the dot com bubble needed the low oil prices to occur. It resulted from a transformation of the Internet to a major source of business. Those businesses needed servers, software, and security, and they needed mucho developers and hardware techs to set all of that up. Y2K came on later, spurring a demand for a different group of developers.

It was a great time with money being thrown around to design and develop all of this, but it wasn't going to last. Once the servers were in place, the web sites were up, and the older mainframes knew the difference between 1900 and 2000, the developers were let go, the tech bubble burst, and that was the end of that.

30 posted on 07/14/2010 4:53:34 PM PDT by TwelveOfTwenty (Compassionate Conservatism? Promoting self reliance is compassionate. Promoting dependency is not.)
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To: Brilliant

I would argue that the stock market boom resulted from the low oil prices, and the dot coms went along for the ride.


While low oil prices may have been a contributing factor,
the dot com bubble was largely driven by the evolution of the Internet, an explosion of web browsers, the advent of web based commerce, advances in telecommunications, the introduction of new business models (which still exist today) and a period of low interest rates. Y2K was also a factor in the late 90s. IMHO you are overstating the role of oil as advancements in technology were a reflection of Moore’s Law. Then again, maybe it should all be credited to Al Gore who, after all, invented the Internet. LOL.


38 posted on 07/14/2010 7:05:02 PM PDT by Starboard
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