A period of time during which economic growth decreases rapidly. In the stock market, busts are usually associated with bear markets.


During busts, inflation decreases and in extreme cases can cause deflation. In addition, unemployment rises, income falls, and demand decreases. Because of the cyclical nature of the economy, a bust usually follows a boom in what is called the "boom and bust" cycle.

  1. Business Cycle

    The fluctuations in economic activity that an economy experiences ...
  2. Burst Basket

    A burst basket refers to a particular type of stock transaction ...
  3. Recession

    A significant decline in activity across the economy, lasting ...
  4. Crash

    A sudden and significant decline in the value of a market. A ...
  5. Economy

    The large set of inter-related economic production and consumption ...
  6. Bear Market

    A market condition in which the prices of securities are falling, ...
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