The Dutch tulip bulb market bubble, also known as ‘tulipmania’ was one of the most famous market bubbles and crashes of all time. It occurred in Holland during the early to mid-1600s when speculation drove the value of tulip bulbs to extremes. At the height of the market, the rarest tulip bulbs traded for as much as six times the average person’s annual salary.
Today, the tulipmania serves as a parable for the pitfalls that excessive greed and speculation can lead to.
- The Dutch Tulip Bulb Market Bubble was one of the most famous asset bubbles and crashes of all time.
- At the height of the bubble, tulips sold for approximately 10,000 guilders, equal to the value of a mansion on the Amsterdam Grand Canal.
- Tulips were introduced to Holland in 1593 with the bubble occurring primarily from 1634 to 1637.
- Recent scholarship has questioned the extent of the tulipmania, suggesting it may have been exaggerated as a parable of greed and excess.