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Financialization in Peripheral Countries: Insights from the Marxist Dependency Theory

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  • Francisco Luiz de Andrade Neto

Abstract

This article examines the contributions of Marxist dependency theory (MDT) to the understanding of “peripheral financialization.†It emphasizes the theory’s relevance in addressing the distinct characteristics of dependency, situating MDT within its theoretical, political, and historical contexts alongside its fundamental categories. Contemporary contributions to the analysis of financialization within this framework are explored, highlighting how this process reinforces dependent countries’ subordinated position in the global economy. In this sense, financialization marks a new stage of dependency, intensifying the structural transfer of value and aggravating the superexploitation of labor. These contributions point to an understanding of peripheral financialization that not only acknowledges the particularities of capitalist development in the periphery but also maintains a direct link to class exploitation. JEL Classification: B2, F3

Suggested Citation

  • Francisco Luiz de Andrade Neto, 2025. "Financialization in Peripheral Countries: Insights from the Marxist Dependency Theory," Review of Radical Political Economics, Union for Radical Political Economics, vol. 57(4), pages 696-705, December.
    • Handle: RePEc:sae:reorpe:v:57:y:2025:i:4:p:696-705
    DOI: 10.1177/04866134251348265
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    References listed on IDEAS

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    1. Dos Santos, Theotonio, 1970. "The Structure of Dependence," American Economic Review, American Economic Association, vol. 60(2), pages 231-236, May.
    2. Bruno Bonizzi & Annina Kaltenbrunner & Jeff Powell, 2022. "Financialised capitalism and the subordination of emerging capitalist economies," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 46(4), pages 651-678.
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    JEL classification:

    • B2 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925
    • F3 - International Economics - - International Finance

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