Article | Culture Unbound: Journal of Current Cultural Research | What Difference do Derivatives Make? From the Technical to the Political Conjuncture

Title:
What Difference do Derivatives Make? From the Technical to the Political Conjuncture
Author:
Randy Martin: Art and Public Policy, New York University, USA
DOI:
10.3384/cu.2000.1525.146189
Read article:
Full article (pdf)
Year:
2014
Volume:
6
Theme:
Theme: Capitalism: Current Crisis and Cultural Critique Edited by Johan Fornäs

Pages:
189-210
No. of pages:
22
Publication type:
Article
Published:
2014-02-20


In the aftermath of the great bailout of capital in 2008 (and still ongoing) finance has often been seen as external and parasitical to the real economy. Instead, finance and other forms of capital have become more closely articulated and interwoven. A critical social logic of the derivative is offered here, following on Marx’s analysis of the commodity, to consider what is meant by dominance of finance, what difference finance makes and the politics of debt. The derivative provides key insights into the apparently detached process by which money seems to beget more money, and at the same time discloses the internal socialization and interdependence that is at the root of a politically generative mutual indebtedness.

Keywords: Derivatives; financialization; debt; socialization; capital; commodi-ties; Marx; sociology

Volume 6, Theme: Theme: Capitalism: Current Crisis and Cultural Critique Edited by Johan Fornäs

, Article 11, 2014

Author:
Randy Martin
Title:
What Difference do Derivatives Make? From the Technical to the Political Conjuncture:
DOI:
10.3384/cu.2000.1525.146189
References:

Albo, Greg, Sam Gindin & Leo Panitch (2010): In and Out of Crisis: The Global Financial Meltdown and Left Alternatives, Oakland: Spectre.

Arrighi, Giovanni (1994): The Long Twentieth Century: Money, Power and the Origin of Our Times, London: Verso.

Bank of International Settlements (2012): http://www.bis.org/statistics/derstats.htm (accessed 15 August 2012).

Bell, Daniel (1973): The Coming of Post-Industrial Society: A Venture in Social Forecasting, New York: Basic Books.

Blackburn, Robin (2002): Banking on Death, or, Investing in Life: The History and Future of Pensions, London, Verso.

Bogle, John (2012): Clash of the Cultures: Investment Vs Speculation, New York: Wiley.

Brenner, Robert (2006): The Economics of Global Turbulence: The Advanced Capitalist Economies from Long Boom to Long Downturn, 1945-2005, London: Verso, 2006.

Brooks, Robert Andrew (2012): Cheaper By the Hour: Temporary Lawyers and the Deprofessionalization of the Law, Philadelphia: Temple University Press.

Brown, Brendan (1987): The Flight of International Capital: A Contemporary History, London: Croom Helm.

Brown, Michael E. (1986): The Production of Society: A Marxian Foundation for Social Theory, Totowa, NJ: Rowman and Littlefield.

Bryan, Dick and Mike Rafferty (2006): Capitalism With Derivatives: A Political Economy of Financial Derivatives, Capital and Class, Basingstoke: Palgrave McMillan.

Dienst, Richard (2011): The Bonds of Debt, London: Verso.

Edwards Richard, Michael Reich & Thomas Weiskopf (1972): The Capitalist System: A Radical Analysis of American Society, Engelwood Cliffs: Prentice-Hall.

Epstein, Gerald (2005): Financialization and the World Economy, Northhampton, MA: Edward Elgar.

Fabian, Johannes (1983): Time and the Other: How Anthropology Makes Its Object, New York: Columbia University Press.

Finel-Honigman, Irene (2010): A Cultural History of Finance, New York: Routledge.

Foster, John Bellamy & Fred Magdoff (2009): The Great Financial Crisis: Causes and Consequences, New York: Monthly Review Press.

Friedman, Thomas (2006): The World is Flat: A Brief History of the Twenty-First Century, New York: Farrar, Strauss and Giroux.

Graeber, David (2011): Debt: The First 5,000 Years, Brooklyn: Melville House.

Guttmann, Robert (1994): How Credit Money Shapes the Economy: The United States in a Global System, Armonk, NY: M E Sharpe.

Hacker, Jacob (2006): The Great Risk Shift: The Assault on American Jobs, Families, Health Care, and Retirement and How You Can Fight Back, New York: Oxford University Press.

Hall, Stuart (1978): Policing the Crisis: Mugging, the State, and Law and Order, New York: Holmes and Meier.

Harvey, David (2007): A Brief History of Neoliberalism, New York: Oxford University Press.

Harvey, David (1999): The Limits to Capital, London: Verso.

Jameson, Fredric (1984): “Periodizing the Sixties”, Sohnya Sayres, Sanders Stephanson, Stanley Aronowitz& Frederic Jameson (eds): The Sixties Without Apology, Minneapolis: University of Minnesota Press.

Krippner, Greta (2011): Capitalizing on Crisis: The Political Origins of the Rise of Finance, Cambridge, MA: Harvard University Press.

Moulier Boutang, Yann (2011): Cognitive Capitalism, Cambridge: Polity.

Lipuma, Edward & Benjamin Lee (2004): Financial Derivatives and the Globalization of Risk, Durham: Duke University Press. DOI: 10.1215/9780822386124

MacKenzie, Donald (2006): An Engine Not a Camera: How Financial Models Shape Markets, Cambridge: MIT Press. DOI: 10.7551/mitpress/9780262134606.001.0001

Martin, Randy (2002): Financialization of Daily Life, Philadelphia: Temple University Press. DOI: 10.1215/9780822389804

Martin, Randy (2007): An Empire of Indifference: American War and the Financial Logic of Risk Management, Durham: Duke University Press.

Martin, Randy (2011): Under New Management: Universities, Administrative Labor and the Professional Turn, Philadelphia: Temple University Press.

Marx, Karl (1852/1969): Eighteenth Brumaire of Louis Bonaparte, New York: International Publishers.

Marx, Karl (1867/1967a): Capital: A Critique of Political Economy Volume 1, New York: International Publishers.

Marx, Karl (1894/1967b): Capital Volume III The Process of Capitalist Production as a Whole, New York: International Publishers.

Marx, Karl and Friedrich Engels (1848/2002): The Communist Manifesto, London: Penguin.

McKinsey (2011): “Mapping Global Capital Markets, 2011”: http://www.mckinsey.com/Insights/MGI/Research/Financial_Markets/Mapping_global_capital_markets_2011 (accessed 15 August 2012).

McNally, David (2010): Global Slump: The Economics and Politics of Crisis and Resistance, Oakland: Spectre.

Monaghan L and M O’Flynn (2012): “The Madoffization of Society: A Corrosive Process in an Age of Fictitious Capital”, Critical Sociology, 39:6, 869-887 (Published Online July 2012): http://crs.sagepub.com/content/39/6/869.full.pdf+html (accessed 15 January 2014).

Occupy Student Debt Campaign (2012): http://www.occupystudentdebtcampaign.org (accessed 15 August 2012).

Panitch, Leo, Greg Albo & Vivek Chibber (2010): The Crisis This Time: Socialist Register 2011, New York: Monthly Review Press.

Parsons, Talcott (1955): The Social System, New York: Free Press.

Perelman, Michael (2000): The Invention of Capitalism: Classical Political Economy and the Secret History of Primitive Accumulation, Durham: Duke University Press. DOI: 10.1215/9780822380696

Rosenberg, Richard (2011): “Is Microcredit Over-Indebtedness a Worldwide Problem?”, Http://microfinance.cgap.org/2011/11/07/is-microcredit-over-indebtedness-a-worldwide-problem/ (accessed 20 August 2012).

Rothkopf, David (2008): Superclass: The Global Power Elite and the World They are Making, New York: Farrar, Strauss and Giroux.

Roubini, Nouriel & Stephen Mihm (2010): Crisis Economics: A Crash Course in The Future of Finance, New York: Penguin.

Roy, Ananya (2010): Poverty Capital: Microfinance and the Making of Development, New York: Routledge.

Soederberg, Susanne (2011): “Canibalistic Capitalism: The Paradoxes of Neoliberal Pension Securitization”, Panitch Leo, Greg Albo & Vivek Chibber (eds): The Crisis This Time: Socialist Register 2011, New York: Monthly Review Press.

Sourcewatch (2012): Total Wall Street Bailout Cost: http://www.sourcewatch.org/index.php?title=Total_Wall_Street_Bailout_Cost (15 August 2012).

Tabb, William (2012): The Restructuring of Capitalism in Our Time, New York: Columbia University Press.

Wolff, Richard (2009): Capitalism Hits the Fan: The Global Economic Meltdown and What to Do About It, Olive Branch Press.

Wright, Erik Olin (1997): Classes, London: Verso.

Young, Robert (2001): Postcolonialism: An Historical Introduction, Oxford: Blackwell Publishers.

Zerubavel, Eviatar (1981): Hidden Rhythms: Schedules and Calendars in Social Life, Chicago: University of Chicago Press.

Volume 6, Theme:: Theme: Capitalism: Current Crisis and Cultural Critique Edited by Johan Fornäs

, Article 11, 2014

Author:
Randy Martin
Title:
What Difference do Derivatives Make? From the Technical to the Political Conjuncture:
DOI:
10.3384/cu.2000.1525.146189
Note: the following are taken directly from CrossRef
Citations:
  • Dick Brya & Michael Rafferty (2016). Decomposing Money: Ontological options and spreads. Journal of Cultural Economy, 9(1): 27. DOI: 10.1080/17530350.2014.993684
  •  

    Export in BibTex, RIS or text