Stock market bubble definition

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Stock market bubble

Stock market bubble logo #21000 A stock market bubble is a type of economic bubble taking place in stock markets when market participants drive stock prices above their value in relation to some system of stock valuation. Behavioral finance theory attributes stock market bubbles to cognitive biases that lead to groupthink and herd behavior. Bubbles occur not only in real-world m...
Found on http://en.wikipedia.org/wiki/Stock_market_bubble
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