Yes, but while we're all born stupid, rich people are subject to forces that actually make them dumber than the average person. Normally people learn from failure because they experience tangible negative consequences as a result of failure. But money is a better insulator than a vacuum, and once you're sufficiently wealthy, failure no longer has any tangible negative effect on your quality of life. Lose ten billion dollars? Lose 90% of your net worth? You and your kin will still be living lives of ease and luxury for generations to come. They're destined to be morons because there's no pressure forcing them to learn from their mistakes.

I don't think this is always true, but it's true a lot. I think there are better descriptions than moronic as well. People use moronic when people are just as smart but have a different (and possibly better) direction. It's just the case that it defies the will of the other person.

These people go to the extreme and feel they have to outdo each other in an arms race to win whatever category it is today.

You can have extreme ambitions without being a moron. It's possible for someone to be empathetic, but also really driven. The problem is that they are locked in a downward spiral and they can't possibly be vulnerable. It's only when they run out of money, or some other extreme event occurs that they change tack. That's moronic, especially when the outcomes are predictable.

There is a lot to be said about SV culture and the people that surround these VCs. A lot of people love these environments and more than tolerate the environment these VC folks create. It's hardly a new phenomenon.