Economic Bubble of the 1980s

The economic bubble of the 1980s, often called the stock market or asset bubble, involved rapid and excessive increases in asset prices, especially in stock markets and real estate. Investors' enthusiasm and optimistic expectations drove prices far beyond their actual value, fueled by easy credit and deregulation. When confidence waned or prices became unsustainable, the bubble burst, leading to sharp declines, financial losses, and economic instability. It highlights how collective market behavior and speculation can inflate asset values beyond their true worth, resulting in economic correction when the reality catches up with overoptimistic assumptions.