A booming stock market, fueled by a few buzzy names. CEOs predicting huge productivity gains from new technologies. Robust GDP growth, but job creation starting to crack. • That was the situation in the year 2000, and is the situation today, only accentuated by a sell-off in some of this cycle's big-name stocks the last few days.
The big picture: A close look at what happened during that turn-of-the-century business cycle can shed light on what might happen in the next couple of years, as companies implement labor-saving AI advances across their operations and investors wrestle with priced-for-perfection asset markets. • In that episode, GDP growth remained mostly solid, even amid a popping asset bubble. Consumer spending held up. But the job market was weak for years.
Flashback: The

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