Indebted states now answer to transnational currency and stock markets

Evidence

Finance also permits capital an incredibly powerful lever of power over indebted states, which depend on the sale of government bonds for economic vitality and which, today, are at the mercy of transnational currency markets and stock indexes as never before (ironically, the same markets that states had to “bail out” after the 2008 crisis) (Albo, Ginden and Panitch 2010, 60–74; Bello 2013). — Max Haiven, Cultures of Financialization, 495

Categorization

• XREF: Gateway to financialization’s political dimension — states at mercy of the very markets they bail out — relevant to deWaard’s cultural critique of finance as governing power. — connects to: Currency deals serve hedging, speculation, and transnational investment entry and exit. — Karin Knorr Cetina & Urs Bruegger, Global Microstructures: The Virtual…, 50; Foreign-backed monetary systems subordinate a state to that foreign country. — Fanny Pigeaud_ Ndongo Samba Sylla, Africa’s Last Colonial Currency, 369; Nation states can now default on international debts — David Harvey, The Condition of Postmodernity: An…, 1035 (+2 more)

Broader Connections

• Advanced capital has globalized beyond the nation-state’s control #corroborates (0.90) — Aijaz Ahmad, In Theory, 590
• Foreign-backed monetary systems subordinate a state to that foreign country. #expands (0.85) — Fanny Pigeaud_ Ndongo Samba Sylla, Africa’s Last Colonial Currency, 369
• Nation states can now default on international debts #expands (0.72) — David Harvey, The Condition of Postmodernity, 1035
• A sovereign currency makes a state incapable of defaulting on its own obligations #contradicts (0.72)