A Political Economy Of Contemporary Capitalism And Its Crisis: Demystifying Finance (routledge Frontiers Of Political Economy)

The recent financial meltdown and the resulting global recession have rekindled debates regarding the nature of contemporary capitalism. This book analyses the ongoing financialization of the economy as a development within capitalism, and explores the ways in which it has changed the organization of capitalist power. The authors offer an interpretation of the role of the financial sphere which displays a striking contrast to the majority of contemporary heterodox approaches. Their interpretation stresses the crucial role of financial derivatives in the contemporary organization of capitalist power relations, arguing that the process of financialization is in fact entirely unthinkable in the absence of derivatives. The book also uses Marx’s concepts and some of the arguments developed in the framework of the historic Marxist controversies on economic crises in order to gain an insight into the modern neoliberal form of capitalism and the recent financial crisis. Employing a series of international case studies, this book will be essential reading for all those with an interest in the financial crisis, and all those seeking to comprehend the workings of capitalism. Cover 1 Title 16 Copyright 17 Contents 18 List of illustrations 20 Acknowledgments 22 Introduction 24 PART I The long tradition of finance as a counter-productive activity in heterodox thinking: a Marxian appraisal 30 1 The parasitic absentee owner in the Keynes–Veblen–Proudhon tradition 32 2 Ricardian Marxism and finance as unproductive activity 53 3 Is finance productive or “parasitic?” 65 PART II Financial innovation, money, and capitalist exploitation: a short detour in the history of economic ideas 82 4 Derivatives as money? 84 5 Finance, discipline, and social behavior: tracing the terms of a problem that was never properly stated 107 PART III Rethinking finance: a Marxian analytical framework 128 6 Episodes in finance 130 7 Fictitious capital and finance: an introduction to Marx’s analysis (in the third volume of Capital) 157 8 Financialization as a technology of power: incorporating risk into the Marxian framework 178 PART IV The crisis of the Euro area 204 9 Towards a political economy of monetary unions: revisiting the crisis of the Euro area 206 10 European governance and its contradictions 223 Conclusion: a theoretical and political project for the future 246 Notes 252 References 271 Index 282 The recent financial meltdown and the resulting global recession have rekindled debates regarding the nature of contemporary capitalism. This book analyses the ongoing financialization of the economy as a development within capitalism, and explores the ways in which it has changed the organization of capitalist power. The authors offer an interpretation of the role of the financial sphere which displays a striking contrast to the majority of contemporary heterodox approaches. Their interpretation stresses the crucial role of financial derivatives in the contemporary organization of capitalist power relations, arguing that the process of financialization is in fact entirely unthinkable in the absence of derivatives. The book also uses Marx s concepts and some of the arguments developed in the framework of the historic Marxist controversies on economic crises in order to gain an insight into the modern neoliberal form of capitalism and the recent financial crisis. Employing a series of international case studies, this book will be essential reading for all those with an interest in the financial crisis, and all those seeking to comprehend the workings of capitalism. The Parasitic Absentee Owner In The Keynes-veblen-proudhon Tradition -- Ricardian Marxism And Finance As Unproductive Activity -- Is Finance Productive Or Parasitic? -- Derivatives As Money? -- Finance, Discipline, And Social Behavior: Tracing The Terms Of A Problem That Was Never Properly Stated -- Episodes In Finance -- Fictitious Capital And Finance: An Introduction To Marx's Analysis (in The Third Volume Of Capital) -- Financialization As A Technology Of Power: Incorporating Risk Into The Marxian Framework -- Towards A Political Economy Of Monetary Unions: Revisiting The Crisis Of The Euro Area -- European Governance And Its Contradictions -- Conclusion: A Theoretical And Political Project For The Future. Dimitris P. Sotiropoulos, John Milios, And Spyros Lapatsioras. Includes Bibliographical References (p.248-258) And Index. The recent financial meltdown and the resulting global recession have rekindled discussions and debates regarding the contemporary organisation of capitalism. This book analyses the on-going financialisation of the economy as a development within capitalism, and explores the ways in which it has changed the organisation of capitalist power In the aftermath of the global financial meltdown, this book analyses the ongoing financialization of the economy as a development within capitalism, and explores the ways in which it has changed the organization of capitalist power.