A long time ago in France and most of the European countries, tulips are the most famous flowers. They were bought for every occasion in the family and every celebration in the cities. This has encouraged many of the small businesses to get more of these flowers to grow so that they could make some money. After some days the major part of the people gets acquainted with this business and many investors encouraged by investing in these businesses most of the money. It continued for most days. As we know when demand increases, as a result, the price also increases to profit these investors and business persons. the demand is increasing day to day and price as the same. After so many days the demand has increased more than that of the production of these flowers. Tulips are majorly grown with the typical environment. As demand increased day to day people growing these flowers also increased. Even though production has increased demand didn't decrease, as a result, major investors frightened with the idea of getting a loss in this business. They started pulling the money from the business. After this, so many investors started the same thing as a result most the businessman who is selling tulips started decreasing the price. This has resulted in a catastrophe. At some point in time, the price of tulips was greater than it has to be so people stopped buying them, as a result, there is an economic crisis in the tulip industry. The people who are investing in the business who are doing it and to all who are linked to it. This is the first economic crisis that has happened in history and every investor in the world knows it. This is also called as an Economic bubble. After this, another economic crisis has happened known as the .com bubble.
No comments:
Post a Comment