Topic summary
Casino capitalism
Extracted from the Wikipedia article Susan Strange.
Casino capitalism
In Casino Capitalism (B. Blackwell, 1986), also republished by Manchester University Press, Strange problemized the nonsystem that the international monetary system had become. In popularising the concept of casino capitalism, she compared it with a casino whereon the foreign exchange plays as snakes and ladders. She set the stakes that international finance had become stronger than states and deregularised. The Smithsonian Agreement was weakened, leading further to benign neglect from the US, while the Eurodollar market and OPEC strongly undermined the Bretton Woods system. According to Strange, there is no state or actor governing the international monetary system and the international financial markets. American banks are made free to pursue their interests since the 1980s strengthened by the possibility to finance American bonds in the world, making a carousel of bond trading with the OPEC and the Eurodollar market. The forces of market integration set by the Bretton Woods system was going through.