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cfothowawayy

4 karma · joined February 22, 2023

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cfothowawayy··on Ask HN: How are the current layoffs affecting non-US developers?
it should only affect USA. most companies depend on investor money (some to live, like tsla, uber. some because of bonuses tied to stock prices)

those companies know that investor money is directly related to FED rate. if its zero, they get invested, if its high, people will put money to work elsewhere.

they only lever they have to control fed rate is unemployment. they know they are hurting their business by laying off people they fought to acquire, but their incentives for investor money is higher than anything else.

so their plan is to increase unemployment in the USA so fed lower rates so investment money keeps flowing.