we can understand “fictitious capital” writ large as the way capital spins a crucial social fiction about the nature of the world.
So, we can understand financialization as a terrain of struggle and friction between different spheres and cycles of reproduction: the reproduction of capital writ large
[...] Drawing on Marx’s crisis theory, which (basically) holds that capitalism is based on fundamental contradictions which can never be resolved, only elevated to a higher level of abstraction and violence, Luxemburg sought to show how the inherent limits of capital manifest themselves in destruct…
The reason why the idea of fictitious capital is useful is because it draws our attention to the way that finance foments and depends on the production of social fictions.
[...] financial crises occur when the gap between fictitious capital and the real value it claims to represent becomes too great. The culture of belief and credulity that underscores the financial sector and the proliferation of fictitious capital stutters or grinds to a sickening halt [...] Financ…
