Electromechanical instability, a significant phenomenon in dielectric elastomers, has been well studied in the literature. However, most previous work was based on the assumption that dielectric elastomers undergo quasi-static deformation. This letter investigates the dynamic electromechanical instability of a dielectric elastomer balloon which renders four types of oscillation subject to a parametric combination of DC and AC voltages. The simulated oscillations show that dynamic electromechanical instability occurs within quite a large range of excitation frequency, in the form of snap-through or snap-back, when the DC and AC voltages reach critical values. The balloon is at its most susceptible to dynamic electromechanical instability when the superharmonic, harmonic or subharmonic resonance is excited. Taking all excitation parameters into account, this letter analyzes the global critical condition which triggers the dynamic electromechanical instability of the balloon.