Value extraction, crowding out, and instability of the financial sector on Colombian productive development

Gonzalo Combita Mora ()

Brazilian Journal of Political Economy, 2024, vol. 44, issue 1, 168-188

Abstract: This research aims to illustrate how, under the scenario of global financialization,Colombia’s productive model changed and now is led by finance which extracted value,creating instability, and provoking a crowding out effect on real sector embodied here bythe manufacture share of GDP. The above became evident in the 1990s thanks to freemarketreforms implemented. The research uses heterodox theory to empirically verify thehypotheses by creating variables representing the proposed phenomena and exposing themthrough descriptive analysis and a VARX model. JEL Classification: B26; D46; E12; F65; O14.

Keywords: Financial instability; value extraction; crowding out; financialization; developing economics (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
https://centrodeeconomiapolitica.org.br/repojs/ind ... ticle/view/2448/2381 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ekm:repojs:v:44:y:2024:i:1:p:168-188:id:2448

Access Statistics for this article

More articles in Brazilian Journal of Political Economy from Center of Political Economy
Bibliographic data for series maintained by Brazilian Journal of Political Economy (Brazil) ().