Why the Dot-Com Bubble Was Far Less Irrational Than You Might Think
Wall Street has infamously had its share of ugly Octobers, so Alison Southwick and Robert Brokamp chose this month to offer their listeners a special treat: a four-part series on the history of market crashes in the United States. In this Motley Fool Answers podcast, guest and former Fool Morgan Housel leads the discussion on a topic near and dear to the hearts of online-based operations like the Fool: the dot-com bubble and the subsequent long and painful crash.
On the surface, you may think you know what caused that mess: a torrent of money flooding into dippy ideas that were sold by folks who believed putting the word "internet" in front of them turned dross into gold. But plenty of dot-com bust victims were based on business models that were anything but crazy. The wild overvaluation of the bubble was also far less widespread than you might have thought, because the technology that underlay it really was pretty revolutionary.
A full transcript follows the video.
Source: Fool.com
