Because America is the innovation capital of the world.

I know that sounds like corny and biased American exceptionalism, but I think it’s just objectively true.

Other countries can have vastly superior government policy, and that shows up in significant ways (like Denmark having an even higher productivity than the U.S.), but nobody has played the productivity game at as big a scale as the U.S. has, and that’s sort of just an insurmountable advantage for the time being.

NVIDIA, Apple, Amazon, Meta, Google—-I could go on for a very, very long time. Those companies alone are going to create heavy competition within the tech sphere, and add on top of that Baumol’s cost disease from every other big U.S. industry, and you get the current situation.

No other country has the behemoth of capital and opportunity like the U.S. has. This will naturally have a big influence on things.