> so hopefully the AI bubble unwinding won't be as bad
It's currently larger than the 1880s railroad boom.
"Overbuilding and speculative debt ultimately culminated in the Panic of 1893, plunging the nation into a severe economic depression."
It's currently larger than the 1880s railroad boom.
"Overbuilding and speculative debt ultimately culminated in the Panic of 1893, plunging the nation into a severe economic depression."
"During the 1880s, private railroad enterprises represented over 60% of the total capitalization of the entire U.S. stock market, peaking at 63% in 1881 and 1885."
But as a % of total GDP, you are correct.
In terms of infra spending as a percent of GDP, 1880s railroads were at 5-6% at peak while AI is estimated to reach 3+% in a year or two.