Part of the problem with the Pikettian “Investment Event Horizon”, which I articulated in an earlier post, is the idea that we can blindly presume that a statistical trend will continue forever without carefully considering whether the extrapolation is at all plausible.
In that spirit, a friend of mine analyzed the growth of smartphone screens, which began a few years ago at around a diagonal measurement of 3 inches, then moved to 4 inches, and have recently been going past 5 inches. He has demonstrated, by extrapolation, that by the year 2034 smart phones will be 80 inches across!
Not convinced? See his graphs for yourself! Anyone can see that the trend is inexorable. Nothing could possibly interrupt it!
Now, as it happens, Piketty’s data appear to have been incorrect, but note, yet again, that even if the data had been correct, that does not make the underlying claim any less risible.