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Tulip Mania

My postgraduate Money and Banking class had to set up a blog on a topic of their choosing.  There were many interesting blogs created by my students, but the top Blogger in the class was Berta Kruminaite, who blogged about the Dutch tulip mania.  The Dutch tulip mania, which occurred in Amsterdam in 1536-7, saw a dramatic reversal in the price of tulip bulbs.  This mania episode is traditionally regarded as the first famous 'bubble'.  However, over the years, economists have taken different positions as to whether the Dutch tulip mania really was a ‘bubble’.  Berta does a great job of presenting these different views.  She even manages to include a video clip of Newt Gingrich discussing the tulip mania!  You can access Berta’s blog here.

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