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"credit bubble" refers to a situation where there is an excessive amount of borrowing and lending, leading to a rapid increase in the overall level of debt. This can happen when lenders become overly optimistic about the ability of borrowers to repay their loans, resulting in a surge of loan approvals. However, if borrowers are unable to meet their repayment obligations, it can cause a collapse in the financial system and have negative impacts on the economy.
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