The 1637 Dutch speculative episode commonly linked to a collapse in tulip-bulb prices is Tulip Mania.
During the Dutch Golden Age, rare tulip varieties became fashionable luxury goods. Contracts for bulbs were traded, and stories about rapidly rising prices helped create an enduring image of a speculative frenzy.
In early 1637, prices for some tulip contracts fell sharply. Later popular accounts described the event as a nationwide economic disaster, but historians have found that the effects were more limited than the legend suggests. Many contracts were also settled without delivery of bulbs.
Tulip Mania is therefore useful as a historical example of speculative behavior, but it should not be treated as proof that the entire Dutch economy collapsed. The episode is often compared with the South Sea Bubble and other asset-price booms, while the scale and details remain debated.