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Venture capital not recession-proof

Posted on April 18, 2009

Saturday's news that venture capital investments plunged in the first quarter to a level not seen since 1997 should erase any notion that the VC busniess is somehow recession-resistant. The latest report adds insult to injury, as earlier in the week the National Venture Capital Association, or NVCA, reported that fewer VC funds were raised in the first quarter than in any comparable period in more than five years. More bad news to the tech sector came Friday when California's Employment Development Department said that Silicon Valley's unemployment rate jumped to a record 11 % in March, t...

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