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Book Synopsis'Thomas Marois' book, States, Banks and Crisis
, is highly attractive to development scholars because of the combinations of topics it discusses, the countries analyzed, and its characterization of financial capital as dominant. In the last century the states of Mexico and Turkey promoted robust economic growth guided by powerful public banking organizations. The book captures how this came to a halt since the 1980s through the privatizing of economic activity, especially banking activities in ways that induced steep banking crises that halted economic development. Marois discusses the theory and history of Mexico and Turkey in depth offering an excellent analysis of their neoliberal experiences while proposing new alternatives to reshape the linkages between the financial sector and economic growth.' - Noemi Levy, National Autonomous University of Mexico (UNAM), Mexico City
Thomas Marois' groundbreaking interpretation of banking and development in Mexico and Turkey builds on a Marxian-inspired framework premised on understanding states and banks as social relationships alongside crisis and labor as vital to finance today. The book's rich historical and empirical content reveals definite institutionalized relationships of power that mainstream political economists often miss.
While leading to a timely analysis of the impact of the Great Recession on Mexico and Turkey, the major contribution of States, Banks and Crisis in its account of emerging finance capitalism. This is defined as the current phase of accumulation wherein the interests of financial capital are fused in the state apparatus as the institutionalized priorities and overarching social logic guiding the actions of state managers and government elites, often to the detriment of labor.
This interdisciplinary and accessible study on banking and development will prove to be an important resource for upper-level undergraduates, graduates, and scholars in economics, development studies, political science, political economy, development finance, sociology, international relations and international political economy.
Trade ReviewMarois has provided us with a fascinating, rigorous and important study of the rise and persistence of finance capitalism in Mexico and Turkey. Drawing on an innovative historical materialist lens, Marois' analysis reveals the struggles, contradictions, and continued significance of the banking sector in defining and redefining neoliberal-led development in these so-called ''emerging markets''. This is a very welcome addition to critical understandings of the role of finance and states in the global South. --Susanne Soederberg, Queen's University, Canada
This book attempts to provide a critique of neoclassical and liberal political economists as well as the much-hyped and influential ''varieties of capitalism'' approach, a variant of institutionalist political economy, by claiming that they are dismissive of ''the structural power of financial capital''. In this regard, it makes an important contribution to the critical political economy tradition with its detailed analysis of the relations between the state, finance capital and labour in the context of two ''emerging capitalisms'', Mexico and Turkey. Thereby, it enhances our understanding of how the financial crises function as driving forces of neoliberal transformation by initiating new forms of state specific to peripheral capitalism. --Galip Yalman, Middle East Technical University, Turkey
Financialization is as financialization does. It is a mix of the universal characteristics of finance within capitalism, its contemporary powerful hold over, even defining feature of, the neoliberal age, and the myriad of specific global markets and countries into which it has penetrated. In a stunning work of comparative political economy, Marois brilliantly weaves together these aspects of finance drawing on both innovative theoretical insights and primary case study evidence from Turkey and Mexico to furnish what will become a classic and original contribution to the understanding of financialization in the developing world, highlighting both the role of the state in the era of putatively free markets and the possibility, indeed, necessity of alternatives. --Ben Fine, University of London, UK
Table of ContentsContents: 1. Introducing Emerging Finance Capitalism 2. States, Banks, and Crisis in Emerging Finance Capitalism 3. States, Banks, and the History of Postwar Development in Mexico and Turkey 4. Neoliberal Idealism, Crisis, and Banking in Mexico’s State-led Structural Transformation, 1982–94 5. Crisis and the Neoliberal Idealism of State and Bank Restructuring in Turkey, 1980–2000 6. Another Round of Tequila? Interpreting the Costs and Benefits of Emerging Finance Capitalism in Mexico 7. Richer than Croesus? Understanding the Subordination of State and Banks to Emerging Finance Capitalism in Turkey 8. Comparing Alternatives in an Era of Emerging Finance Capitalism Bibliography Index
