Here is the way things are supposed to work. Every 50 years or so, the world goes through a major technology-based economic revolution, - also known as Kondratiev Waves. A new disruptive technology emerges out of the lab into the marketplace, becomes increasingly successful, gets embraced by entrepreneurs who start new businesses based on these new technologies, and begins to gain market share at the expense of the previous, slow moving market leaders. These new ventures continue to attract more and more financial capital from investors, which in turn helps improve the quality and lowers the cost of the new disruptive technology and leads to many new innovative applications.
But inevitably, the investments in new companies and applications turns into unsustainable speculation, leading to a financial bubble which eventually crashes.
Then, after the crash, comes a time of institutional recomposition. The now well accepted technologies become the norm. New paradigms emerge for guiding innovation and for determining winners and losers in the marketplace. Over time, these new paradigms significantly transform the economy and everything around it, as well as re-shaping social behavior and the institutions of society. The previous decades of creative destruction now become a golden age of creative construction.