Computers multiplied financial instrument complexity and accelerated trading to near light speed.
Evidence
But the computer did have an enormous impact on finance. It multiplied the complexity of financial instruments by hiding the ugliness within them. And it allowed for their frantic trading to accelerate almost to the speed of light. — Yanis Varoufakis, Technofeudalism, 226
Categorization
- XREF: connects to: Financialization includes automated high-frequency trading where computers execute most exchanges — Max Haiven, Cultures of Financialization, 71; Early computers boosted finance far more than industrial productivity — Yanis Varoufakis, Technofeudalism: What Killed Capitalism, 226; Accelerated algorithmic trading causes recurrent flash crashes beyond any regulator’s mastery — Hartmut Rosa, Social Acceleration: A New Theory of…, 15 (+4 more)
Broader Connections
- Financialization includes automated high-frequency trading where computers execute most exchanges
#exemplifies(0.95) — Max Haiven, Cultures of Financialization, 71 - Accelerated algorithmic trading causes recurrent flash crashes beyond any regulator’s mastery
#expands(0.85) — Hartmut Rosa, Social Acceleration, 15 - Computer-generated complexity caused herd buying of incomprehensible derivatives
#expands(0.85) — Yanis Varoufakis, Technofeudalism, 223 - High frequency trading speed edges yield tens of billions in annual profits
#expands(0.85) — Hartmut Rosa, Social Acceleration, 14 - Financial system complexity now exceeds human cognitive and regulatory capacity
#expands(0.80) — Philip Mirowski, Never Let a Serious Crisis Go to Waste, 39 - Early computers boosted finance far more than industrial productivity
#corroborates(0.75) — Yanis Varoufakis, Technofeudalism, 226 - Digital computing boosted circulation and exchange, not productive output.
#corroborates(0.70) — Anna Kornbluh, Immediacy, or The Style of Too Late…, 76