09/26/2011 09:09 am ET Updated Nov 26, 2011

Blowing bubbles and the rise of entrepreneurship

In the last 400 years since shares have been bought and sold there has been a succession of financial bubbles.

The first bubble was during the Dutch Gold Age, the 1600's. In that period contract prices for tulips reached extraordinary eutrophic price levels and then as all great bubbles do collapsed suddenly. At the height of ''Tulip Mania'' a phrase that was coined to describe metaphorically any large economic bubble (when asset prices deviate or unhinge from intrinsic values) the price of a tulip was 10 times the average workers wage.

In Niall Ferguson's The Ascent of Money he explains that each bubble has a familiar pattern and can be broken down into the five following stages:

1. Displacement: Some change in economic circumstances creates new and profitable opportunities for certain companies.
2. Euphoria or overtrading: A feedback process sets in whereby rising expected profits lead to rapid growth in share prices.
3. Mania or bubble: The prospect of easy capital gains attracts first-time investors and swindlers eager to mulct them and their money.
4. Distress: The insiders discern that expected profits cannot possible justify the now exorbitant price of shares and begin to take profits selling.
5. Revulsion or discredit: As share prices fall, the outsiders all stampede for the exits, causing the bubble to burst altogether.

There has been an increasing amount of people who are of the opinion that the recent rise of entrepreneurship is another bubble. This has been said so often that there have been some entrepreneurs that now call themselves ''business owner's to distance themselves from the stigma.
A recent study by Moya K. Mason stated that on average 137,000 new business/ventures are started every single day.

The job market is tough and with shows like Dragons Den becoming more popular by the day people are turning to their own skills in the search for financial freedom or even just financial security.

We as humans are instinctively resourceful and become very creative in times of trouble.
One of the five stages of a bubble is Displacement; it's safe to say that we have been firmly displaced since the 2008 financial crash. We have been displaced from the one job, one house for life reality that we have benefited from for the last 50 years.

You have a skill or a talent that can be leveraged for money and can provide you with the financial security that you need. Don't waste your time waiting for this whole mess to be over. Instead right now from today decided to take ownership of your success and ensure your own financial security.