Bubble
in sentence
914 examples of Bubble in a sentence
Let us assume that the real-estate
bubble
has burst.
His reappearance comes just as the credit
bubble
fueled by the sub-prime mortgage boom is about to burst, triggering the worst financial and economic crisis since the Great Depression.
Prior to the crisis, Spain’s economy relied on demand created by a leveraged real-estate
bubble
– a pattern not dissimilar in some respects to that in the United States.
For starters, the roof is starting to collapse on the global housing bubble, as housing markets begin to freeze up not only in the United States, but also in many other countries, such as high-flying Spain.
Would a real-estate
bubble
have developed in Spain?
Moreover, the mood in the West swings between a realization that this crisis will not be resolved without fundamental commotions and changes, and hope that it will be resolved in the normal, cyclical way of other crises – Mexico, Asia, the Internet bubble, etc. – and that in the not-so-distant future things will start to pick up.
Worse, the US Federal Reserve and its previous chairman, Alan Greenspan, may have helped create the problem, encouraging households to take on risky variable-rate mortgages by reassuring those who worried about a housing
bubble
that there was at most a little “froth” in the market.
Signs that home prices are entering
bubble
territory in these economies include fast-rising home prices, high and rising price-to-income ratios, and high levels of mortgage debt as a share of household debt.
Moreover, many banking systems have bigger capital buffers than in the past, enabling them to absorb losses from a correction in home prices; and, in most countries, households’ equity in their homes is greater than it was in the US subprime mortgage
bubble.
But the higher home prices rise, the further they will fall – and the greater the collateral economic and financial damage will be – when the
bubble
deflates.
Sweden's economy rose and fell with the IT bubble, reflected in telecoms giant Ericsson's troubles today.
Are we witnessing the collapse of yet another economic bubble, as many analysts are claiming?
True, everybody is complaining about America’s speculative bubble, and they are right to do so.
Then, Ireland became a model for how not to manage a property
bubble
and, subsequently, a banking crisis.
Israel’s life in a
bubble
was also exemplified by the two major religious parties in the elections.
The Japan MythBRUSSELS – The first decade of this century started with the so-called dot-com
bubble.
But the prolonged period of low interest rates that followed the 2001 recession instead contributed to the emergence of another bubble, this time in real estate and credit.
With the collapse of the second
bubble
in a decade, central banks again acted quickly, lowering rates to zero (or close to it) almost everywhere.
The crisis was caused by the largest leveraged asset
bubble
and credit
bubble
in history.
As a result, a housing bubble, a mortgage bubble, an equity bubble, a bond bubble, a credit bubble, a commodity bubble, a private equity bubble, and a hedge funds
bubble
are all now bursting simultaneously.
And, given the rising risk of a global systemic financial meltdown, the prospect of a decade-long L-shaped recession – like the one experienced by Japan after the collapse of its real estate and equity
bubble
– cannot be ruled out.
Yet Japan continues to work inside a linguistic
bubble
– not least because many firms in Japan are oriented toward the domestic market and pay little heed to global trends.
They may even overshoot, temporarily pushing the ratios even higher than necessary, creating a
bubble
and causing unnecessary angst among residents.
Worried about worsening inflation and a budding real-estate bubble, the People’s Bank of China (PBC, the central bank) gradually tightened its monetary stance.
Increased global production and falling technology costs could strike a severe blow to Africa, where economic development is likely to stall without industrialization and the expanding youth
bubble
shows no sign of deflating.
As is typical of a financial bubble, investors are buying cryptocurrencies not to use in transactions, but because they expect them to increase in value.
But, like in the case of the sub-prime bubble, most US regulators are still asleep at the wheel.
Similarly, although the one-size-fits-all monetary policy contributed to Greece’s excessive indebtedness, and to Spain’s real-estate bubble, eurozone leaders have consistently sought to re-align interest rates, for example, by compelling holders of Greek debt to accept “haircuts” (write-downs on principal).
Famously, the Fed’s efforts to tame a stock-market
bubble
in the late 1920s sparked the Great Depression of the 1930s.
Later, corporate governance scandals in Asia and then in the US, notably after the dot-com
bubble
and the accounting debacles at Enron, WorldCom, and others, encouraged Europeans to think that the “old continent” had somehow preserved higher standards.
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