Ismail Erturk

The University of Manchester · Alliance Manchester Business School (AMBS)

O objetivo deste artigo é analisar em que medida a operação de investimentos por meio de Fundos de Índices de Mercado (ETFs – Exchange Traded Funds) dificultam a transparência e a responsabilização social e ambiental dos investidores por efeitos concretos do seu financiamento de atividades empresariais. Os ETFs são denominados fundos de gestão pass...

India’s post-GFC digital financial inclusion project has been conveyed by an officially constructed polysemic narrative that connotes three distinctive semantic fields: (a) post-colonial Indian developmental policies; (b) post-GFC financialising neoliberal financial inclusion programmes; and (c) traditional Hindu religious values of money and wealt...

Public policy for FinTech and digital finance in the EU.

This article presents a postcolonial analysis of financial citizenship (FC) programmes in Malaysia. Drawing on secondary data and on interviews with elites and citizen investors, the paper explores the spatial and historically specific nature of financialisation in a postcolonial context. Specifically, the paper draws out the significance of FC as...

This article presents a postcolonial analysis of financial citizenship (FC) programmes in Malaysia. Drawing on secondary data and on interviews with elites and citizen investors, the paper explores the spatial and historically specific nature of financialisation in a postcolonial context. Specifically, the paper draws out the significance of FC as...

After the 2007 financial crisis central bank economists in the US produced a map of shadow banking system, a fragile interconnectedness of regulated and unregulated financial institutions, to explain why the crisis had happened. This piece of cartographic work in banking regulation had two aims: (a) to represent the economic reality, including the...

The ECB started €1 trillion worth of massive large scale asset purchase programme (LSAP), known popularly as quantitative easing (QE), when the evidence from the US where LSAP and other unconventional monetary policies have been in operation for the last seven years, shows that the transmission mechanisms have not worked as expected and private inv...

This article argues that major post-crisis regulatory initiatives like the Dodd-Frank Act, the Vickers Report, the Liikanen Review and Basel III capital adequacy and liquidity rules that are shaping the banking industry globally are not likely to be successful in de-risking the banks because they do not explicitly engage with the consequences of sh...

The rise of modern corporations has been accompanied by an expansion of salaried executives who have replaced owner-managers. With this expansion, the new class of managers/executives came to regard themselves as stewards of large and complex corporations, and not principally or exclusively as agents for the owners. Emerging as a self- styled ‘prof...

Outsourcing is a democratic tragedy because today’s mainstream politicians are not protesting (or even examining) the outcomes of outsourcing. Instead they are planning to grant ever more local monopolies from which organised money can take profits and build fragile firms in ways which disadvantage ordinary citizens. The result is a franchise state...

Most public discussion of outsourcing focuses on high level fiascos. But most outsourcing is very different – low level conduct of mundane operations which rarely attracts public attention. This ‘below the radar’ outsourcing, though, offers huge opportunities for dazzling rates of return on virtually risk free terms. These dazzling returns are conn...

Outsourcing exhibits a peculiar paradox which is at the heart of this system: firms are simultaneously highly exploitative and highly fragile in their business resilience. The explanation is that outsourcing are forced to play contract roulette. They are in essence bidding machines which can only survive by constantly chasing new contracts and maki...

The outsourcing revolution is part of a revolution in policy delivery in Britain. That revolution involves shifting responsibility for policy from the governing elite to others – to outsourcing firms themselves, to administrators and to lower level public officials. It thus involves a major exercise in blame shifting, where responsibility for fiasc...

The problems of outsourcing do not exist in isolation: they are lodged in a wider business system whose rules and culture enable opportunistic behaviour. At the heart is the system of limited liability, which historically was designed to help entrepreneurs manage and restrict risk in venture, but which in the era of globally organised enterprises o...

Outsourcing-contracting out the delivery of public services to private providers-is a political revolution in the way the economy is governed. This book combines follow the money research and political analysis to critique outsourcing and constructively propose a “fee for management” alternative. Government presses outsourcing partly because it ben...

Capital Markets Union is a late but right project towards a truly single currency economic zone in the EU. However the CMU Green Paper chooses the wrong benchmark of US capital markets and is not based on evidence. The hegemonic corporate governance ideology of shareholder value maximisation that determines the financialised firm behaviour in the U...

Since the 2007 financial crisis central bankers in all major capitalist economies have introduced what they themselves call "unconventional monetary policies" to prevent a catastrophic collapse of financial markets and restore economic normality. Bernanke in the US, Darighi in the euro zone, King and then his successor Carney in the UK, and Kuroda...

For thirty years, the British economy has repeated the same old experiment of subjecting everything to competition and market because that is what works in the imagination of central government. This book demonstrates the repeated failure of that experiment by detailed examination of three sectors: broadband, food supply and retail banking. The boo...

This article distinguishes between different concepts of device. In traditional English usage, as in the Foucauldian or Deleuzian concept, devices exist in a context of power, opportunism and force. Through argument and evidence about hedge funds and financial innovation, we argue that this kind of non-Callonian device is ubiquitous in finance so t...

This paper is about knowledge limits and the financial crisis. It begins by examining various existing accounts of crisis which disagree about the causes, but share the belief that the crisis represents a problem of socio-technical malfunction which requires some kind of technocratic fix: the three variants on this explanation are the crisis as acc...

This article considers the body of work which Andrew Haldane has published since the onset of financial crisis. It draws a distinction between two kinds of criticism in that work: Haldane's interference through political arithmetic on the costs of finance and Haldane's big concept of the financial network using metaphors drawn from the life science...

What is the relationship between the financial system and politics? In a democratic system, what kind of control should elected governments have over the financial markets? What policies should be implemented to regulate them? What is the role played by different elites - financial, technocratic, and political - in the operation and regulation of t...

At SASE's Annual Meeting 2010 in Philadelphia, the conference organizers convened a panel to discuss the reform of the Global Financial Architecture in the light of the ongoing financial crisis. Subsequent to the panel and the discussion, the presenters and the Chair of the Panel wrote up their comments in the form of short essays which are collect...

The paper criticises current metaphorical characterisations of hedge funds as either trader/arbitrageurs or speculator/gamblers. We argue that these two different characterisations share a definition–identity–outcome frame within which hedge funds are separate and distinct from other financial actors, and engaged in an activity of buying and sellin...

This is a paper about how financial innovation is constructed in different discourses, in financial journalism and official reports as much as in mainstream academic finance or social studies of finance. Written just before the bank bail outs of October 2008, it observes the weakness of popular and official concepts of financial innovation and the...

This paper presents a mixed methods analysis of corporate governance and develops an argument that governance is impossibilist because it inflates expectations and sets fundamentally unattainable objectives. Disappointment with corporate governance is justified because proceduralisation plus new mechanisms (such as the insistence on more independen...

This paper analyzes the ‘democratization of finance’ or the promise that all households can make money and/or manage risk by buying appropriate financial services products. It develops a distinctive cultural economy perspective by focusing first on the visions which encourage and rationalize broader and deeper relations between households and the c...

This paper uses the changing historical and theoretical frames within which management pay and investor claims are considered to provide a critique of the functionalist approach of agency and to develop an alternative, positional explanation of rewards. The first part of the paper draws on the contrast between the pre-1940 critique of the rentier a...

This paper outlines a radical explanation of management pay based on claims and positions, which breaks with the functionalist assumptions of academic agency theory focused on actors and functions. The first part of the paper contrasts the discursive construction of the post- 1980s shareholder with the pre-1940s rentier, observing that the critique...

This article begins with the 1980s and 1990s business and public policy issue about pay for performance, which set executive pay in the United Kingdom and the United States into a problematic about value creation. In this context, it is not the absolute level of rewards that is the main concern, but rather the ways in which pay is connected with co...

Increasing levels of personal debt, soaring house prices and a looming pensions crisis have recently stimulated considerable interest in household financial behaviour. Using macro data from the financial accounts of the four largest economies in the EU from 1980 to 2003, we observe that the bourgeois virtue of prudence needs to be redefined because...

This paper raises fundamental questions about the political and economic conditions and consequences of UK and US corporate governance. It does so by locating corporate governance in present day capitalism. Politically, the rise of governance since the early 1990s is part of a more general discursive attempt to combine neoliberalism with social res...

This paper raises fundamental questions about UK and US corporate governance. It starts by explaining and evaluating the orthodoxy about agency theory and optimal contracting for shareholder value before going on to propose an alternative explanation which emphasises value skimming by top management. The paper sets corporate governance in historica...

The role of banks in the economy is justified in the mainstream economics and finance literature by their ability to reduce informational asymmetries and to innovate risk transformation instruments. The political economy literature on governance, on the other hand, sees an important institutional role for banks in disciplining firm managers and fac...