Financial globalization’s effects are mediated by preexisting national institutions.
Evidence
The globalization of finance can shape the balance of institutions in an economy by tilting the cost profile of using markets. But how this plays out depends crucially on existing institutions. — Gerald F. Davis & Suntae Kim, Financialization of the Economy, 125
Categorization
- XREF: Connects to the varieties-of-capitalism literature and institutional economics; echoes Hall & Soskice’s framework. — connects to: Financialization does not yield uniform convergence across national contexts. — Gerald F. Davis & Suntae Kim, Financialization of the Economy, 118
Related
- Financialization does not yield uniform convergence across national contexts. (similarity 0.88)
- Financialization shifts capital intermediation from institutions to markets. (similarity 0.82)
- Globalization and financialization form one mutually reinforcing process, not rival frameworks (similarity 0.82)
- Financialization’s core is markets displacing institutions via information. (similarity 0.80)
- Financialization ultimately represents markets displacing social institutions as society’s organizing principle. (similarity 0.79)
- Financialization is a political project tied to US hegemony, not a market efficiency outcome. (similarity 0.78)
Broader Connections
- Financialization does not yield uniform convergence across national contexts.
#corroborates(0.90) — Gerald F. Davis & Suntae Kim, Financialization of the Economy, 118