Shervin Pishevar Explains U.S Economy Decline And China Take Over In A Twitter Storm

The U.S government silently watched as the largest technology companies in the country strangled startups and established monopolies in their respective fields. It would also silently watch as the stock and equity market trades went off hand. These inactions have, however, caught up with the economy and threaten to send it tumbling, according to Shervin Pishevar. The celebrated investor made these revelations during a recent twitter storm that saw him release a series of tweets consecutively for 21 hours.

Declining economy

Shervin Pishevar believes that the writing about the US economy is on the wall and anyone willing to look deep enough will see its first signs. He particularly lays the blame for the upcoming financial crisis that he believes will hit the economy in a few months on the bonds and equity markets. These will be the first and most affected casualties. The angel investor further emphasizes that the apparent decline will affect every inch of the economy, including cryptocurrencies like Bitcoin.

When did the rains start beating us?

The government’s inaction on matters of national economic importance like equity trades and floating of IPOs, as well as its discomforting silence as big companies established monopolies, was the first sign of a failing economy. Shervin Pishevar, adds that these acts killed America’s creativity and its technological hubs like the Silicon Valley that he believes have long dispersed to the other parts of the world.

The technological companies venture capitalist further states that Silicon Valley was never a place but a collection of ideas. Its creative juice has now flown and found home in such countries as China that now reports a higher technological uptake than America. To illustrate this lack of creativity in America, Shervin Pishevar points to the fact that China is now able to build state of the art train stations in record nine hours, something never witnessed in the United States.

More about Shervin Pishevar

Shervin is an Iranian-American entrepreneur, a co-founder and managing director of Investment company a venture capital fund. Through this fund, he has invested in numerous technology companies during their early fundraising rounds that have gone on to prove revolutionary. These include Uber, Munchery, and Airbnb.

https://www.businessinsider.com/shervin-pishevar-strange-21-hour-tweet-storm-2018-2

Shervin Pishevar Knocks the Burdon Monopolies Impose on an Economy

The tweet-storm that Shervin Pishevar produced on February 6, 2018, is an apt example of a mind that takes in information from several sources, analyzes it, and distributes a verdict based on experience. Shervin Pishevar had itemized such thoughts before, but not to this extent. The 50-tweets over a 24-hour period encompassed a panorama of views on the American economy. One of his most interesting points was the place and fate of industrial giants like Amazon, Apple, Microsoft, Google, and Alphabet in our economy.

 

In tweet #41, Shervin Pishevar notes, “Giants built on monopoly frameworks will fall. As they should. That’s how evolution works. Old forests burn to make room for the new.” When Pishevar mentions monopoly frameworks, he is talking about mega-corporations that adopt the practice of buying up and eliminating entrepreneurial enterprises that may or may not affect their bottom line. These huge corporations purchase all possible competitors to retain and manipulate their share of the market.

 

Shervin Pishevar is looking to the past to find the future. In 1913, Theodore Roosevelt demanded and signed the original antitrust laws. These laws were necessitated by the same monopolistic tendencies of those at the top of the economic food-chain that exist today. Pishevar points out the natural economic evolutionary pattern that destroys monopolies. Antitrust laws are one way that monopolies are broken up, as seen in the breakup of the Bell system in 1984. Most consumers asked “why” after a consent decree ordered the breakup in 1982. To the consumer, Bell looked like a perfect company that took care of the communication needs of the nation, just as the monopolistic corporations do today. However, the actions of Bell after the breakup of clinging to the old land-line systems and existing off the profits of the long-distance communication system spawns doubts that the wireless communication systems that birthed social media would ever have existed if Bell had not been broken up.

 

Another problem for monopolies is that they exist in a world separate from Main Street. Monopolies continue to demand high prices for inferior products when their product is the only one available. Competition is the force that creates innovation. Eventually, invention will overcome the static nature of monopolies as the consumer demands the superior product. Shervin Pishevar knows these facts. He has experienced the shock of monopolistic control and the excitement of busting that control. His tweet is an expression of that excitement.

 

https://www.msn.com/en-in/money/companies/shervin-pishevar-on-the-%E2%80%9Cshakespearean-melodrama%E2%80%9D-that-is-uber/vp-BBK40jk