A stock market bubble can be defined as an economic cycle in which there is a rapid expansion, which is followed by contraction. Basically, too many investors become too eager to buy. When they realize the value of the stock is going down, and sell off to save some of their money. The crash usually happens because when there is a bubble, the investment class gets to a point when prices don't justify the underlying value.
The consequences of a stock market bubble are generally recession and the need for more monetary stimulus. That increase in monetary stimulus means more money printing that may not stop until a recession, stock market crash, or both occurs.
Yes because the period of economic boom and stock market bubble during the 1920s is often referred to as the Roaring Twenties.
Because... economics.
a crash-there's a major decrease in stock prices a bubble-stock prices are higher than their real value bull market-there's a general upward trend in stock prices
became worthless
This is what happens in the world's stock markets.
It get's completely demolished!
This is what happens in the world's stock markets.
The market determines it.
The purpose of using stock trading simulation is to better see how the stock market fluctuates. This is used in order to make sure any stock market crashes (like the Great Stock Market crash) never happens again.
Checking the stock market today will help inform about businesses one is interested in purchasing stock from. For example, if the stock market says a business is doing well and stock prices are trending up, one may have good luck in purchasing stock from them.