Český finanční a účetní časopis 2011(3):6-21 | DOI: 10.18267/j.cfuc.110

Factors of Occurrence of Speculative Bubbles on the Financial Markets

Jitka Veselá
Doc. Ing. Jitka Veselá, Ph.D. - docentka; Katedra bankovnictví a pojišťovnictví, Fakulta financí a účetnictví, Vysoká škola ekonomická v Praze, nám. W. Churchilla 4, 130 67 Praha 3; <veselaj@vse.cz>.

This article is focused on occurrence of speculative bubbles on the financial markets in the context of financial crises. The article explains the term of speculative bubble and offers several alternative explanations of speculative bubbles. An attention is paid to rational and irrational behavior of individual, crowd, market and psychological factors as well. There are in more detail discussed the circumstances of bubbles of 20th, 80th and the end of 90th of the last century and recent real estate bubble. At the end, a question whether the possibility forecasting of speculative bubbles occurrence on the financial market is mentioned.

Keywords: Speculative Bubble; Crowd Psychology; Behavioral Finance.
JEL classification: G01

Published: October 1, 2011  Show citation

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Veselá, J. (2011). Factors of Occurrence of Speculative Bubbles on the Financial Markets. Czech Financial and Accounting Journal, 2011(3), 6-21. doi: 10.18267/j.cfuc.110
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