THE ORIGIN OF SPECULATIVE CAPITAL AND DERIVATIVE FINANCIAL INSTRUMENTS AND THEIR ROLE IN FINANCIAL CAPITAL CIRCUIT

Authors:

Burdenko I.

Sumy State University,
Sumy, Ukraine


Pages: 46-52


Original language: Ukrainian

DOI: 10.21272/1817-9215.2019.3-6

Summary:
Financial capital, which functions separately from real capital, in violation of the persistent historical and economic interdependence between them, which is manifested in the redistribution of value created by real capital through financial capital, is fictitious. Experts believe that the share of speculative capital in world financial flows is approximately 85%, and only 15% is from the real economy sector. In the context of globalization and the widening gap between real and financial capital, which affect the firmness and stability of the financial system, the process of generating fictitious capital, especially in times of instability and crisis, speculative capital is given priority and derivative financial instruments are a form of its realization. The rapid development of derivative financial instruments, within the limits of the global economy, has changed, apart from the ratio of speculative to real capital, also basic perceptions of the traditional phases of society development, the division of economic sectors and types of capital, which serves them through financial markets. At the same time, the creation of derivative financial instruments provided a deeper goal – objectification of an abstract risk. This is what defined and defines the nature of global capital flows through these financial instruments and what distinguishes this class of financial derivatives in from commodity derivatives in. The article defines the place of speculative capital as a form of fictitious capital through the lens of highlighting the phases of development of society, the division of sectors of the economy and the types of capital that serves them.Derivative financial instruments have been proven to be a qualitatively new form of both fictitious capital and speculative capital, which is in circulation in the tertiary financial market and serves the needs of the tertiary and quaternary sectors of the economy in the post-industrial stage of world economic development. The origin and main characteristics of speculative capital have been identified.

Keywords:
financial market, financial capital, fictitious capital, speculative capital, derivative financial instruments.

Reference:
  1. Бурденко І.М. Похідні фінансові інструменти як форма фіктивного капіталу / І.М. Бурденко, І.О. Макаренко // Актуальні проблеми економіки – 2010. – № 11 (113) – С. 181–188
  2. Глуха Г.Я., Лимонова Е.М. Фіктивний капітал: природа, сутнісні характеристики та основні тенденції розвитку / Європейський вектор економічного розвитку. – 2009. – № 2(7). – С. 31-38.
  3. Грибачев В. Гудбай, беглецы! Спекулятивный капитал никак не оставит в покое Россию [Электронный ресур] – Режим доступа : http://regnum.su/news/1495174.html#ixzz234jjuiWN
  4. Данилина С.А. Виртуальность фиктивного капитала в современных условиях. Вестник Тульского филиала финуниверситета. 2017. № 1. С. 15-18
  5. Дмитриева Н. Н. Формирование рынков фиктивного капитала. Экономика образования. № 2, часть 2, 2009. С. 37-43.
  6. Жвания Д. Манифест рабочего социализма [Электронный ресур] / Дмитрий Жвания – Режим доступа : http://newrussia.org/posts/7387-dmitriy-zhvaniya-manifest-rabochego-sotsializma
  7. Лашин П.М. Институциональные аспекты развития форм фиктивного капитала // Вісник ОНУ ім. І.І.Мечникова. – 2014. – Вип. 3/1. – С. 27–31.
  8. Левина И. К вопросу о соотношении реального и финансового секторов / И. Левина // Вопросы экономики. – 2006. – № 9. – С. 83-102
  9. Краузе Э. Анализ новых тенденций в развитии современной экономики. Слово. 2006. № 116.
  10. Harvey David The Condition of Postmodernity: An Enquiry into the Origins of Cultural Change. Oxford: Blackwell, 1989. 368 рр.
  11. Hoogvelt Ankie Globalization and the Post Colonial World:  The New Political Economy of Development. Johns Hopkins University Press, 1997. 312 рр.
  12. LiPuma Edward, Lee Benjamin Financial derivatives and the rise of circulation [Electronic resource]/ Edward LiPuma, Benjamin Lee // Economy and Society. – 2005. – № 3. – Р. 404-427. – Access mode : http://dx.doi.org/10.1080/03085140500111931. – Р. 406
  13. MacKenzie Donald and Millo Yuval Constructing a market, performing theory: the historical sociology of a financial derivatives exchange. American journal of sociology. № 109 (1). Р. 107-145.
  14. Perez Carletta Technological Revolutions and Financial Capital. Cheltenham, UK : Edward Elgar, 2002. 198 р. URL : e-elgar.com.
  15. Saber Nasser Speculative Capital. New York : Prentice Hall, 2000
  16. Shiller R. J. Macro Markets: Creating Institutions for Managing Society’s Largest Economic Risks. London: Oxford University Press, 1993. 272 р.
  17. Steinherr Alfred Derivatives:The Wild Beast of Finance. New York : Wiley, 1998. 430 p.
  18. The New Political Economy of Development. Report submitted by a Working Group established by the Committee on the Global Financial System. January 2009. CGFS Papers No 33.