Definition of bubble economy in US English:

bubble economy


  • An unstable expanding economy; in particular, a period of heightened prosperity and increased commercial activity in Japan in the late 1980s brought about by artificially adjusted interest rates.

    • ‘The bubble economy of the 1980s briefly propelled Japan to superpower status.’
    • ‘Few countries have had more experience with the aftermath of a bubble economy than Japan.’
    • ‘One could not imagine a clearer manifestation of a bubble economy than the present situation in California.’
    • ‘The authors begin their study by seeking to establish a definition of the bubble economy, based on the experiences of Japan's economy in the late 1980s.’
    • ‘If this continues for long, China's economy will become overheated and a bubble economy will be created.’