--- title: "Meaning & Key Takeaway of: Fear and euphoria are dominant forces…" description: "\"Fear and euphoria are dominant forces, and fear is many multiples the size of euphoria. Bubbles go up very slowly as euphoria builds. Then fear hits, a..." image: "https://sms4smile.com/quotes/i/9f7/alan-greenspan-1834_bubbles_fear-and-euphoria-are-dominant-forces-an_2768008.png" --- # Fear and euphoria are dominant forces, and fear is many… ![“Fear and euphoria are dominant forces, and fear is many multiples the size of euphoria. Bubbles go up very slowly as euphoria builds. Then fear hits, and it comes down very sharply. When I started to look at that, I was sort of intellectually shocked. Contagion is the critical phenomenon which…” quote by Alan Greenspan](https://sms4smile.com/quotes/i/9f7/alan-greenspan-1834_bubbles_fear-and-euphoria-are-dominant-forces-an_2768008.png) [Download](https://sms4smile.com/quotes/i/9f7/alan-greenspan-1834_bubbles_fear-and-euphoria-are-dominant-forces-an_2768008.png) [Open image](https://sms4smile.com/quotes/i/9f7/alan-greenspan-1834_bubbles_fear-and-euphoria-are-dominant-forces-an_2768008.png) > “Fear and euphoria are dominant forces, and fear is many multiples the size of euphoria. Bubbles go up very slowly as euphoria builds. Then fear hits, and it comes down very sharply. When I started to look at that, I was sort of intellectually shocked. Contagion is the critical phenomenon which causes the thing to fall apart.” [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. He compares fear and euphoria in markets, noting fear dominates and causes rapid declines, while euphoria rises slowly. **In simple terms:** Fear outweighs euphoria, leading to sharp market drops. Key Takeaway Beware of fear‑driven decisions. Themes economics psychology volatility Mood cautious analytical Type financial philosophical When to use this quote - investing - policy making - personal finance Key Concepts behavioral finance contagion risk perception Questions to Reflect On - What triggers fear in your financial choices? - How can you balance optimism with caution? A Different Perspective Euphoria can mask underlying risks. ★ ★ ★ ★ ★ No ratings yet [Contagion](https://sms4smile.com/quotes/about/contagion/) [Euphoria](https://sms4smile.com/quotes/about/euphoria/) [Fear](https://sms4smile.com/quotes/about/fear/) [Phenomenon](https://sms4smile.com/quotes/about/phenomenon/) ## Related quotes > [The very nature of finance is that it cannot be profitable unless it is significantly leveraged... and as long as there is debt, there…](https://sms4smile.com/quotes/alan-greenspan/the-very-nature-of-finance-is-that-it-cannot-be-profitable-unless-it/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [Fear is a far more dominant force in human behaviour than euphoria - I would never have expected that or given it a moment's…](https://sms4smile.com/quotes/alan-greenspan/fear-is-a-far-more-dominant-force-in-human-behaviour-than-euphoria-i/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [If I had political responsibility, I would want to prepare for a plan B that would foresee that the European currency union, that the…](https://sms4smile.com/quotes/peer-steinbruck/if-i-had-political-responsibility-i-would-want-to-prepare-for-a-plan/) [Peer Steinbruck](https://sms4smile.com/quotes/author/peer-steinbruck/) > [Every revolution begins as consciousness because some group of people has to imagine change. 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Merrow](https://sms4smile.com/quotes/author/j-l-merrow/) Browse all 821 Bubbles quotes ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "Fear and euphoria are dominant forces, and fear is many multiples the size of euphoria. Bubbles go up very slowly as euphoria builds. Then fear hits, and it comes down very sharply. When I started to look at that, I was sort of intellectually shocked. 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