There are four basic conditions generated by the global bubble economy.
(1). Due to the economic and financial globalization, financial bubbles transcend borders.
(2). As the economic and financial open policy making the financial markets openness, financial bubbles penetrate into major markets.
(3). A large number of cross-border currency flows have been generated by the increasing degree of freely convertible currency. Most of them enter into financial economy, especially dummy financial economy.
(4).Recently, the U.S. dollars are playing a significant role in the dummy financial economy which result in $ virtualization. The U.S. dollar beyond the functions of the services for economic entities.
Basic conditions for the development of the global bubble economy have been possessed roughly. From financial native products to financial derivative products, then to the other financial products, financial bubbles have penetrated into all aspects of financial activities. Moreover, it showing an independent development tendency. At last, global financial bubble economy break out.
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