• Kushal Prajapati

The paper talks about Artificial Intelligence today that embodies a hybrid bubble, combining speculative excess with general-purpose technological potential. It revisits classic bubble theories and applies macroeconomic models, valuation metrics and capex data to AI firms, finding explosive price behaviour and circular vendor-financing loop, in a handful of firms, rather than sector-wide mania. At the same time, strong earnings, moderate AI capex as a share of GDP, and projected labour productivity gains support structural repricing rather than irrational enthusiasm. The paper concludes with AI marked as “revolution wrapped in speculation,” likely to experience a price restructuring which will filter fragile models leaving behind core infrastructure.

Artificial Intelligence, Generative AI, Market Bubble, AI Bubble, Dot-com comparison, GSADF Test

"Revisiting Bubble Theory in Age of Artificial Intelligence", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.13, Issue 1, page no.d472-d476, January-2026, Available :http://www.jetir.org/papers/JETIR2601359.pdf

"Revisiting Bubble Theory in Age of Artificial Intelligence", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.13, Issue 1, page no. ppd472-d476, January-2026, Available at : http://www.jetir.org/papers/JETIR2601359.pdf