Stock Market Investments and AI Research and Development

Bubbles in financial markets are driven by investors’ beliefs about other investors’ beliefs and poor feedback loops with reality. Investor behavior is thus often driven by narratives, which can be undermined suddenly if/when a strong counter-narrative takes hold. It seems plausible that the same dynamics exist in the high tech space. How does it drive Government’s and Big tech’s investments in AI research? How capital moves in high tech space and what parallels can be drawn between this and stock exchange?

Is there an economic parallel like the “Technology Bubble”? (e.g. the Dot-com Bubble)[https://en.wikipedia.org/wiki/Dot-com_bubble] Can we quantitatively estimate whether there are boom and bust cycles in technology investment by companies, foundations, governments?

To what extent are grants or investment decisions based on believing that others believe the technology to be promising? Do we have other ways of measuring how much “dumb money” there is in AI R&D?