ECO 535 WK1_Economic_Events_Influence_on_Economic_Activity.docx Economic Events Influen

ECO 535 WK1_Economic_Events_Influence_on_Economic_Activity.docx    Economic Events Influence on Economic Activity  ECO/535  Economic Events Influence on Economic Activity  Throughout its history, the United States has had its fair share of economic instability. Just this century, we have had events such as the 1973 oil embargo “ followed by a major hurricane, the housing collapse of 2006 - which lead to the most recent recession, and in 1994-2000 we had the œdot-com bubble and its crash. Due to the internet playing such a monumental role today, I will be going over the dot-com event and assessing how this major economic event influenced supply, demand, and economic equilibrium in the US economic activity.  To begin, Investopia describes the event as œThe dotcom bubble, also known as the internet bubble, was a rapid rise in U.S. technology stock equity valuations fueled by investments in internet-based companies during the bull market in the late 1990s. During the dotcom bubble, the value of equity markets grew exponentially, with the technology-dominated Nasdaq index rising from under 1,000 to more than 5,000 between the years 1995 and 2000 (Hayes, 2019). So, what does this mean exactly? Basically, this meant that day traders like plumbers and mechanics were becoming millionaires trading stock within just a couple days.   With the rise and peak of the bubble came its ultimate burst in 2001 and through 2002, with equities entering a bear market. Nerdwallet.com describes a bear market as œ¦ prolonged drop in investment prices ” generally,