The financialization of modern economies in monetary. Financialization refers to the increasing importance of finance, financial markets, and financial institutions to the workings of the economy. Some of the dimensions of this altered reality are clear. In the introduction to the 2005 book financialization and the world economy. Financialization has become the goto term for scholars grappling with the growth of finance. The contributors, top scholars in their fields, explore the quantitative and qualitative dimensions of financialization and tally its costs and benefits for society as a whole. Jan 24, 2018 gerald epsteins article explores the question of the social efficiency of modern, unregulated market. In the last thirty years, the economies of the world have undergone profound. Buy financialization and the world economy by epstein, gerald a.
Jun 30, 2019 financialization and the world economy. The financialization thesis spans several social science disciplines with a variety of definitions. Gerald epstein department of economics umass amherst. Financialization and the world economy september 24, 2012 gerry epstein. Financialization and the world economy hardcover oct 1 2005 by gerald a. The most widely cited definition of the term financialization is probably that given by epstein 2005 in his introduction to his edited book financialization and the world economy. If you continue browsing the site, you agree to the use of cookies on this website. This paper presents systematic empirical evidence for the financialization of the us economy in the post1970s period. Financialization and the world economy ebook, 2005. Financialization, central bank policy and labor solidarity gerald a. Epstein, 9781845429652, available at book depository with free delivery worldwide. Mar 19, 2020 gerald epstein, financialization, rentier interests, and central bank policy, paper presented at the political economy research institutes conference on financialization of the world economy, dec.
In a concluding section, i both summarize the main findings of this research as well as illustrate the usefulness of the concept of financialization by describing two areas of debate in the social sciences for which these findings have relevance. The common thread is the pervasive financialization of global economies epstein, 2005 and the increasing importance of financial markets, financial motives, financial institutions, and financial elites in the operation of the economy and its governing institutions, both at the national and. Wolfson, oxford university press, 2012 engelbert stockhammer discusses financialization, i. Jan 16, 2014 introduction to 2005 publication, financialization and the world economy slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. Ford foundation grant to the political economy research institute, 19992001, 20042006 economic policy institute, 19951997, project on globalization and progressive economic policy world institute for development economics research, united nations university, 19851993.
Wall street and the financialization of the economy. States around the world also adopted financefriendly policies, from reducing capital controls. The political economy of financialization in the us, europe and india. The potential for financialization manuel b aalbers, 2015.
The contributors, top scholars in their fields, explore the quantitative and qualitative. A class analysis gerard dumenil and dominique levy3. This book helps us to understand this dominant feature of neoliberalism by examining the distributional implications, the effects of financialization on the us. The political economy of financialization in the us, europe and india arjun jayadev, j.
Article pdf available in international journal of political economy 424. Pdf financialization and the global economy semantic scholar. While many books have been written about neoliberalism and. Everyday low prices and free delivery on eligible orders. Buy financialization and the world economy by gerald a. While numerous researchers have noted the increasing salience of finance, there have been few systematic attempts to consider what this shift means for the nature of the economy, considered broadly. Financialization and the world economy dissertation example. In the book and, to a greater extent, in a number of. Financialization and the world economy offers a series of expert, wellinformed, critical studies of this phenomenon which explore its risks and costs. Establishment financial economics has helped to depoliticize and. Epstein 2005 in his introduction to his edited book financialization and the world economy 2.
Readers who seek a balanced understanding of globalization will find this book an invaluable resource. The spanish economy has also undergone a significant process of financialization in recent decades. In the introduction to the 2005 book financialization and the world economy, editor gerald a. Financialization of the economy and income inequality in china. Financialization the increasing importance of financial markets, institutions and motives in the world economy is described and analyzed in this rigorously. The impact of destructive product market competition and modern financial markets on nonfinancial corporations performance in the neoliberal era, in epstein, gerald a. Abstract financialization has become the goto term for scholarship that studies the vastly expanded role of finance in contemporary politics, economy and society.
Epstein, financialization refers to the increasing. Epstein quotes james tobin, the 1981 nobel laureate, who wrote in the mid. Financialization and the world economy hardcover oct 1 2005. This handbook offers the first comprehensive survey of the scholarship on financialization, connecting finance with changes in politics, technology, culture, society and the economy. Financialization of the economy has been developing since the late 19th century and is now at historic levels. Case studies of financialization and economic crisis. The political economy of financialization in the us, europe. Book publications, while smaller in number, have followed a similar trend. Financialization is a central and shaping feature of the world economy in the current period of liberalization of financial markets and trade. Epstein editor see all 5 formats and editions hide other formats and editions.
A new word has emerged in the lexicon of the new economy financialization defined as the growing scale and profitability of the finance sector at the expense of the rest of the economy and. Financialization and the world economy peri political economy. He explores the origins and consequences of the dramatic rise of financial markets in the us economy and focuses on the impacts of this process of financialization. Financialization and the world economy gerald a epstein.
Financialization, described in the 17 papers collected here as the awareness of increasing importance of financial markets, institutions and motives in the world economy, can be expressed both quantitatively and qualitatively to find its costs and. Introduction to 2005 publication, financialization and the world economy slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. The political economy of financialization in the us. Financialization and the world economy edward elgar publishing. Financialization and the world economy by gerald a. To prevent another crisis, finance must be domesticated and turned into a useful servant. Financialization of us economy 177 from the globalization of production. Gerald epsteins article explores the question of the social efficiency of modern, unregulated market.
We analyze the mechanisms taking place in the economy, the. Nov 09, 2006 financialization and the world economy book. The routledge international handbook of financialization. In one of the few books to take up the subject directly, gerald epsteins, financialization and the world economy epstein, 2005, he offers a loose definition of financialization that will serve as well as any other. The book begins by presenting basic data on the distributional implications of financialization. This will highlight 1 changes in household behavior, in particular with regards to household debt, 2 changes in the. The aim of the project is to determine the impact of financialization the growing role of financial markets on the economy and society. Part two focuses on financialization in the context of the us economy, with discussion of the relationship between financialization and nonfinancial corporations, the stock market bubble, and the evolution of derivatives markets. Financialization of the global economy industrial and. The breadth and depth of the analyses in this book will make it a most important. Financialization is a term sometimes used to describe the development of financial capitalism.
To be published as a chapter in the forthcoming book, the political economy of financial. Financialization, described in the 17 papers collected here as the awareness of increasing importance of financial markets, institutions and motives in the world economy, can be expressed both quantitatively and qualitatively to find its costs and benefits to developing and developed nations. But with the rapid expansion of a financial sector that transforms all debts and assets into tradable commodities, we are faced with something far worse. In this chapter from the forthcoming book, the political economy of financial crises, edited by gerald epstein and martin h. This will highlight 1 changes in household behavior, in particular with. Financialization is an inherently spatial phenomenon that should be much more central to economicgeographic analysis, explaining how the financialization of the global economy is tied to financialization at other scales as well as to the financialization of the state, economic sectors, individual firms, and daily life. Financialization is a term used to describe the process by which financial institutions like banks and hedge funds have taken over economies and political systems in much of the world. Financialization the increasing importance of financial markets, institutions and motives in the world economy is. Feb 04, 2015 a new word has emerged in the lexicon of the new economy financialization defined as the growing scale and profitability of the finance sector at the expense of the rest of the economy and. Financialization the increasing importance of financial markets, institutions and motives in the world economy is described and analyzed in this rigorously researched volume. First, the socalled financialization of the global economy the steady increase in financial transactions at a world scale and their autonomization from the real economy has played a key role in the ascent of established or emerging global cities, such as london and new york in the west, and shanghai, hong kong, singapore. Epstein, professor of economics and codirector, political. The research paper financialization and the world economy will deal in the process and the relationship between the management and the shareholders.
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