More than a century before Alan Greenspan coined the phrase
"irrational exuberance" to describe the speculative bubble
inflating technology stocks, Charles Mackay was recording the'
history of "tulipomania", a speculative madness surrounding the
value of tulips in the 18th century that was the ruin of many Dutch
and English investors. This is only one of the "extraordinary
popular delusions" documented by Mackay in a fascinating study of
group psychology. He also describes notorious witch hunts, haunted
houses, the Crusades, beliefs in fortunetellers and in the magical
power of alchemy, veneration of relics, bogus health cures and
health scares, and many other examples of human credulity and
flights from reason. This work is a true classic in the study of
paranormal beliefs, a funny, shocking, and unbelievable yet true
history of human gullibility.
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