We investigate the impact of trader and cash inflow on bubble formation in asset markets with a novel design featuring … traders and cash triggers bubbles ("inflow-effect"). (ii) In treatments with trader and cash inflow only in the first half of … bubbles in almost all of the 24 markets with trader inflow. The analysis of traders' beliefs reveals that (iii) despite …

". We observe both stable markets and large bubbles for both small and large markets. The data analysis shows no differences … successfully drives prices back towards the fundamental, but we observe very large bubbles in which the news apparently has no …