What name was given to the 1989 Japanese stock-market collapse after the Nikkei’s record high?

The 1989 Japanese stock-market collapse followed the Japanese asset price bubble’s record high.

Japan’s Nikkei 225 reached its all-time closing high of 38,915.87 on December 29, 1989. Easy credit, strong optimism, and soaring land and share prices had produced an extraordinary boom during the second half of the 1980s.

The bubble burst as monetary policy tightened and asset prices became unsustainable. Share values and property prices fell for years, damaging banks, companies, and household balance sheets. The prolonged economic stagnation that followed is commonly associated with Japan’s “Lost Decades.”

The bubble itself is not the same thing as the later period of stagnation. The Plaza Accord of 1985 influenced exchange rates and economic conditions, but it was an international agreement rather than the name of the stock-market collapse.