Asset Price Bubble

Asset price bubbles, periods of inflated asset values exceeding fundamental worth, are a subject of ongoing research focusing on both their formation and mitigation. Current studies utilize diverse approaches, including reinforcement learning models to simulate trader behavior and deep learning architectures for image analysis of bubble dynamics in various contexts (e.g., boiling, acoustic cavitation). Understanding bubble formation mechanisms and their impact on systems ranging from financial markets to engineering applications is crucial for developing effective strategies to prevent or manage their potentially disruptive consequences.