TY - JOUR

T1 - Hard cash, easy credit, fictitious capital

T2 - Critical reflections on money as a fetishized social relation’

AU - Jessop, Bob

PY - 2015/7/6

Y1 - 2015/7/6

N2 - This article explores some aspects of money as a social relation. Starting from Polanyi, it explores the nature of money as a non-commodity, real commodity, quasi-commodity, and fictitious commodity. The development of credit-debt relations is important in the last respect, especially in market economies where money in the form of coins and banknotes plays a minor role. This argument is developed through some key concepts from Marx concerning money as a fetishized and contradictory social relation, especially his crucial distinction, absent from Polanyi, between money as money and money as capital, each with its own form of fetishism. Attention then turns to Minsky’s work on Ponzi finance and what one might describe as cycles of the expansion of easy credit and the scramble for hard cash. This analysis is re-contextualized in terms of financialization and finance-dominated accumulation, which promote securitization and the autonomization of credit money, interest-bearing capital. The article ends with brief reflections on the role of easy credit and hard cash in the surprising survival of neo-liberal economic and political regimes since the North Atlantic Financial Crisis became evident.

AB - This article explores some aspects of money as a social relation. Starting from Polanyi, it explores the nature of money as a non-commodity, real commodity, quasi-commodity, and fictitious commodity. The development of credit-debt relations is important in the last respect, especially in market economies where money in the form of coins and banknotes plays a minor role. This argument is developed through some key concepts from Marx concerning money as a fetishized and contradictory social relation, especially his crucial distinction, absent from Polanyi, between money as money and money as capital, each with its own form of fetishism. Attention then turns to Minsky’s work on Ponzi finance and what one might describe as cycles of the expansion of easy credit and the scramble for hard cash. This analysis is re-contextualized in terms of financialization and finance-dominated accumulation, which promote securitization and the autonomization of credit money, interest-bearing capital. The article ends with brief reflections on the role of easy credit and hard cash in the surprising survival of neo-liberal economic and political regimes since the North Atlantic Financial Crisis became evident.

KW - money

KW - cash

KW - fictitious commodity

KW - Polanyi

KW - Marx

KW - credit

U2 - 10.2218/finsoc.v1i1.1369

DO - 10.2218/finsoc.v1i1.1369

M3 - Journal article

VL - 1

SP - 20

EP - 37

JO - Finance and Society

JF - Finance and Society

IS - 1

ER -