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The Current Economic Paradigm in the Light of Financialisation

Author

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  • Dudziński Jerzy

    (Department of Foreign Trade and International Economic Relations, Faculty of Economics and Management, University of Szczecin, Mickiewicza 64, 71-101 Szczecin)

Abstract

The paper presents the direction of the mainstream economics paradigm shift and the evidence supporting the inadequacy of its several foundations. The author puts emphasis in particular on the aspects of financialisation in international markets and its impact on the current economic life. International commodity markets provide a good reflection of the effects of financialisation. Current price movements in these markets are determined to a large extent by the engagement of financial investors, which has serious implications to the practical aspect of the economy and contributes to the changes in the nature of several basic economic categories. These markets can be, therefore, considered a certain detailed case study illustrating the general theoretical problems analysed in the paper (directions of evolution of the current economic paradigm).

Suggested Citation

  • Dudziński Jerzy, 2011. "The Current Economic Paradigm in the Light of Financialisation," Folia Oeconomica Stetinensia, Sciendo, vol. 10(1), pages 20-35, January.
    • Handle: RePEc:vrs:foeste:v:10:y:2011:i:1:p:20-35:n:9
    DOI: 10.2478/v10031-011-0009-y
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    References listed on IDEAS

    as
    1. Ke Tang & Wei Xiong, 2010. "Index Investment and Financialization of Commodities," NBER Working Papers 16385, National Bureau of Economic Research, Inc.
    2. Dietrich Domanski & Alexandra Heath, 2007. "Financial investors and commodity markets," BIS Quarterly Review, Bank for International Settlements, March.
    3. Jörg Mayer, 2009. "The Growing Interdependence Between Financial And Commodity Markets," UNCTAD Discussion Papers 195, United Nations Conference on Trade and Development.
    4. Stephen Cecchetti & Madhusudan Mohanty & Fabrizio Zampolli, 2010. "The future of public debt: prospects and implications," BIS Working Papers 300, Bank for International Settlements.
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