YouTube disallowing adblockers, Reddit charging for API usage, Twitter blocking non-registered users. These events happen almost at the same time. Is this one of the effects of the tech bubble burst?

  • @[email protected]English
    1•1 year ago

    Buying a house or a car on loan is far more expensive than it would have been a year and half ago. A $500,000 house in 2021 would cost $2,000 a month at 2.75% interest and 20% down. Today same that payment is $2,800 or 40% more expensive at 7.75% interest.

    Note that mortgages are not what companies pay for loans.

    https://fred.stlouisfed.org/series/BAMLH0A3HYCEY

    CCC bonds yield is the “low-quality” bond market, and is closer to what you might expect a no-profit internet company to be borrowing money at. 2021 was 6%ish interest rates, but today is ~12%+.

    But 2016 was ~18%+ rates, its much more volatile than the mortgage market.

    • @[email protected]English
      1•1 year ago

      You are absolutely correct! I just couldn’t think of a way to further dive into that nuance, but I also wanted the example to be relatable and tangible. Thank you!