Our next question, which is the converse, wealth can be high because we’ve accumulated a lot of wealth, or because the value of that wealth is high. Dr. David Whitner, who is an associate degree in 1975, asked, “Is it NASDAQ in a bubble and will it blow up? Do we know when?”
CHARLIE MUNGER 00:17
Is it NASDAQ in a bubble?
CHARLIE MUNGER 00:20
Well, I – nobody knows when bubbles are going to blow up, but just because it’s NASDAQ doesn’t mean it’ll have another run like this one, very quickly again. This has been unbelievable. Again, there’s never been anything quite like it.
If you stop to think about it, think what Apple is worth compared to John D. Rockefeller’s oil empire. It’s been the most dramatic thing that’s almost ever happened in the entire world history of finance.
The other thing that’s really remarkable. The last 30 years of China, they have had real economic growth at a rate for 30 years that no big country has ever had before in the history of the world.
And who did that? A bunch of communist Chinese. Now that is really remarkable. If you’re in studying finance, you got a lot of strange things to account for.