From Cartoon Apes to Reddit Mania: Why Crowds Lose Their Minds With Money

Even if AI's long-run demand thesis proves correct, mismatched capex-versus-demand timing along the way can wipe out investors before the endpoint arrives.

• Sentiment moves markets: Edmans's World Cup study of 1,150 games found a country's elimination drops its stock market ~0.5% on average, even controlling for momentum — but wins show no offsetting bounce.
• Smart people, worse mistakes: Edmans argues expertise breeds overconfidence and "motivated reasoning," citing Silicon Valley Bank executives who overrode models predicting insolvency.

Themes, sentiment and reasons are AI-written paraphrases, checked so they never quote an episode. They may contain errors. Not investment advice. Episodes remain the property of their creators.