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 The Fed and How It Got That Way Here is a quick history of the Federal Reserve and an overview of what it does. Diversification, Patience, and Consistency Three important factors when it comes to your financial life. 5 Smart Investing Principles Principles that can help create a portfolio designed to pursue investment goals.