Why do bubbles keep happening?
Excessive optimism that "this time is different," combined with the herd instinct to jump in late after watching others profit, are the common threads that repeat across bubbles no matter how much the era or the asset changes.
This is not investment advice
This page is intended for educational, historical purposes only and is not a recommendation to buy, sell, or avoid any particular investment. Always make actual investment decisions carefully and consult a professional.
Frequently Asked Questions
Can you tell in advance when a bubble is about to burst?
Even experts frequently fail to pinpoint the exact peak of a bubble in real time β in most cases, a period only gets labeled a "bubble" in hindsight, after the fact.
Was Tulip Mania really as severe as it sounds?
Some recent research suggests its broader economic impact may have been somewhat exaggerated over time, but it remains widely cited as the textbook example of a speculative bubble.