Financialization, crisis and ungovernability

Abstract

Globalization has allowed for the financial sphere to emerge as the principal axis of accumulation, generating over-liquidity that has exceeded the valuation of capital invested in interconnected international operations. As such, the systemic crisis has reaffirmed two phenomena: that it can present itself in any economy, independent of its size, and that the cyclical tendency of capitalism becomes heightened by the destabilizing potential of the current financial system.