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 Question Thank you! Oops! Related Contents Impact of Taxes and Inflation Estimate the potential impact taxes and inflation can have on the purchasing power of an investment. Contributing to an IRA? Determine if you are eligible to contribute to a traditional or Roth IRA.