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GLOBAL FÄ°NANCE AND “STRONGLY CONNECTED COMPENENTâ€

Mehmet ŞİŞMAN () and Deniz ŞİŞMAN ()
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Mehmet ŞİŞMAN: Marmara University
Deniz ŞİŞMAN: Gelişim University

JOURNAL OF LIFE ECONOMICS, 2018, vol. 5, issue 2, 37-44

Abstract: The Neoliberal Financialization process, which has been practiced in the World Economy since the 1980s, continues with different inequalities in the financial sector. According to the data of the financialization that has emerged up to now, the opinion that the crisis is preparing the environment is getting stronger. In this study, it will be argued that the dimension of inequality brought about by the "strongly connected compenent" has been accelerated and the possibility of the new financial crisis of this process has increased with the increase of international debt. As the majority of strongly connected compenent are financial companies, there is a growing likelihood that they will be affected and identified by the relationships among the global financial sector. The increase in the world debt rate gives us negative signals as the financial sector cuts the net capital flow in the world.

Keywords: Financialization; Debts; Crisis; Strongly Connected Compenent; Neoliberalism (search for similar items in EconPapers)
JEL-codes: E02 F30 F65 G01 G20 (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:jle:journl:v:5:y:2018:i:2:p:37-44

DOI: 10.15637/jlecon.248

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