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Why is that? There is less money in circulation, so less chance you'll get any. Are they making wiser choices? So if you're company is a wise choice you'll get funding?

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You don't need funding to build a great company. In fact most great companies started out without huge funding.

Perhaps he is referring to Paul Graham's essay Why To Start A Startup In A Bad Economy :

http://paulgraham.com/badeconomy.html

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