Corporate Ownership of the Public Debt: Mapping the New Aristocracy of 
Finance
by Sandy Brian Hager
Socio-Economic Review, July 2015

ABSTRACT: In various writings Karl Marx made references to an 
‘aristocracy of finance’ in Western Europe and the United States that 
dominated ownership of the public debt. Drawing on original research, 
this article offers the first comprehensive analysis of public debt 
ownership within the US corporate sector. The research shows that over 
the past three decades, and especially in the context of the current 
crisis, a new aristocracy of finance has emerged, as holdings of the 
public debt have become rapidly concentrated in favor of large 
corporations classified within Finance, Insurance and Real Estate 
(FIRE). Operationalizing Wolfgang Streeck’s concept of the ‘debt state’, 
the article goes on to demonstrate how concentration in ownership of the 
public debt reinforces patterns of social inequality and proceeds in 
tandem with a shift in government policy, one that prioritizes the 
interests of government bondholders over the general citizenry.

FULL TEXT: http://bnarchives.yorku.ca/448/

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