What is a bubble? As is often the case with language, one word can embody multiple meanings. I am referring to the type of bubble emergent from large-scale social phenomena. It is generally a self-reinforcing process, where participants come to believe that by buying in or investing in some underlying thing, they will see increased value from that thing in the future. It is self-reinforcing, because people who are initially on the sidelines will observe others who are participating making gains, and often feel compelled to join the fray lest they loose out.
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