Bursting the Bubble Tulips were the first, but they won’t be the last. What forms a “bubble” and what causes them to burst? Share | Have A Question About This Topic? Name Email Address Message Thank you! Oops! Related Content How the Federal Reserve Works Each day, the Fed is behind the scenes supporting the economy and providing services to the U.S. financial system. My Retirement Savings Estimate how long your retirement savings may last using various monthly cash flow rates. Why Regular Rebalancing Makes Sense Without your knowing, your investment portfolio could be off-kilter.