Eat The Rich

AOC: Trump has been saying the economy is booming, but it’s really only seven tech companies. They’re driving this growth in just one sector: AI.

So the entire economic growth can be tracked down to seven companies and their AI expansion. Forty percent of economic growth is… pic.twitter.com/xdUzrUf4e4

— Acyn (@Acyn) November 18, 2025

AOC: Trump has been saying the economy is booming, but it’s really only seven tech companies. They’re driving this growth in just one sector: AI.

So the entire economic growth can be tracked down to seven companies and their AI expansion. Forty percent of economic growth is attributed to these companies alone, and 80% of stock gains this year came from AI companies.

People are justifying these levels of investment because of the promises CEOs make — that there will be a return on that investment. For a company like OpenAI, their valuation is based on the expectation that they’re going to figure out how to make a profit off this, and they haven’t.

Generating this increased human dependency that can be mined — people’s deepest fears, emotional content — can all be mined for this empty promise that we’re getting from these companies in the pursuit of profit.

The reason I bring all of this up is that the exposure to this industry and this investment, I fear, has reached broad levels of the American economy. We’re talking about 40% of growth being attributed to that sector alone, and it has not turned a profit. We’re talking about a massive economic bubble. Depending on the exposure of that bubble, we could be facing 2008-style threats to economic stability.

I think there will be pressure to bailout AI companies. But as AOC says, the 40% growth is being attributed to AI stocks. Which is rather like saying Tesla’s market cap is driving the U.S. economy. If that’s what the economic growth is based on, it’s a very false number.

There was similar bubble in the “dot com” era of the beginnings of the internet; although that never affected 40-% of projected economic growth. And the fact is, the insane valuation of Nvidia and other AI companies is highly concentrated. No stock holder invests in the DJIA or the S&P 500.  They invest in individual stocks. Just as no homeowner invested in mortgages that fueled the bubble of the “Big Short.” They invested in a mortgage: theirs. The problem then was, they were given mortgages to fuel Wall Street’s investment in mortgages as financial instruments. People who shouldn’t have had mortgages, had huge ones, the better to make Wall Street richer. Too many Americans were unknowingly involved in the market.

How many today hold AI stocks? Or will notice when that bubble bursts? The stock of companies not invested in AI (or dependent on it) won’t fall when Nvidia does (or OpenAI, or whoever).  The DJIA may fall, but that’s an artificial construct invented for marketing purposes. It’s not an economic indicator. When the “Dow” is down, it doesn’t mean every stock traded on the market is down. It means the average of the stocks selected for the index are down. And it could be the AI bubble bursts and takes down another Lehman Brothers. Those people lost their jobs, but that loss didn’t cause people to lose their homes. Homes were lost because the bubble had put people in an untenable mortgage situation in the first place.

AI is not putting millions of homeowners in houses they can’t afford. If it fails, and wipes out market share, it will be for the same reason as before: that market share was built on delusion. Will it take the country’s economy with it? I kinda doubt it. Major investors were blind to the mortgage bubble. Now the fear of a AI bubble is causing the bubble to burst. Which means the big investors are leaving the game. Will the remaining AI investors demand bailouts? Will they get it?

They got their tax cuts. Let ‘em eat that. The tax cuts mean there’s no food in the cupboard.  Sucks to be you, huh, rich guy.