Economist predicts painful correction for San Francisco economy

Overvalued companies fueled by venture capital are headed for a fall
  • Economist who predicted last two busts says San Francisco economy is due to cool off.
  • Rosen says that companies such as Uber are overvalued.
  • Eighty percent of venture capital-funded startups will fail.

Ken Rosen, chairman of the Fisher Center for Real Estate and Urban Economics at UC Berkeley, says there is an impeding economic crisis headed for San Francisco. He’s also well known for correctly predicting the last two major economic downturns well before they happened: the dot-com bust of 2000, and the economic downturn which fueled the housing market crash of 2008.