Bubbles Quote by John Kenneth Galbraith
“When you see reference to a new paradigm you should always, under all circumstances, take cover. Because ever since the great tulipmania in 1637, speculation has always been covered by a new paradigm. There was never a paradigm so new and so wonderful as the one that covered John Law and the South Sea Bubble - until the day of disaster.”
About This Quote
Source Book: The Great Crash, 1929, by John Kenneth Galbraith, 1955
New speculative fads often mask underlying risks, leading people to ignore warning signs.
In simple terms: New trends hide danger.
Key Takeaway
Question cautious when hype rises.
Themes
speculation
risk
history
Mood
cautious
skeptical
Type
advisory
historical
When to use this quote
- investment decisions
- policy making
- financial education
Key Concepts
economic cycles
behavioral finance
Questions to Reflect On
- How do you differentiate genuine innovation from speculative hype?
- What safeguards can prevent repeating past financial bubbles?
A Different Perspective
Hype can obscure real threats.
