Stock Market Bubble Definition
The most common parameter to judge the. A market bubble is broadly referred to any type of asset (ranging from stocks to real estate to gold) that is considered more valuable by investors than its true worth. Asset Bubbles And Where To Find Them Typically prices rise quickly and significantly, growing far beyond their previous value in a short period of time. Stock market bubble definition . First, a market without bubbles is completely efficient from the perspective of investors’ responsiveness to given information; A stock market bubble is when share prices climb too far beyond fundamental values. The steep ascent is almost always followed by a sudden plunge. A stock market bubble is a period of growth in stock prices followed by a fall. Wikipedia defines a stock market bubble as “trade in high volumes at prices that are considerably at variance with intrinsic values.” or in plain english, asset prices are sky high, but people keep jumping on the bandwagon… Market with bu...