From Territorialist Strategy to Capitalist Strategy: Reverse Capital Flow and the Geopolitical Origin of Financialization, 1950-1980

Joonsik Kim, University of Toronto

[Title changed] Extracting Global Credit: the Origin of US Treasury Addiction in Korea (1997-2007) [Abstract] How has the US extracted credit globally? Scholars of credit politics focus on American domestic politics of credit allocation, but they often overlook or depoliticize global credit extraction. Marxist and world-systems scholars provide much-needed analysis about global capital flow but fail to recognize the distinct nature of credit flow compared to other capital flows. Drawing on secondary research and historical archives from the US and Korea, this project will examine the origin of American credit extraction from Korea––an extreme case of American credit extraction and financial policy intervention. Specifically, this paper examines why and how the Korean government is addicted to US Treasury Bonds. Leveraging this question, this paper will contribute to credit politics and world-systems literature by bringing the global politics of credit extraction back in.

No extended abstract or paper available

 Presented in Session 58. Finance and Empire