financialization: meaning, definition, pronunciation and examples
LowAcademic / Formal / Technical
Quick answer
What does “financialization” mean?
The process by which financial institutions, markets, and instruments gain greater influence over economic policy and economic outcomes.
Audio
Pronunciation
Definition
Meaning and Definition
The process by which financial institutions, markets, and instruments gain greater influence over economic policy and economic outcomes.
The increasing role of financial motives, financial markets, financial actors, and financial institutions in the operation of national and international economies. It often refers to the expansion of finance into new areas of economic life, shifting focus from production of goods/services to financial trading and speculation.
Dialectal Variation
British vs American Usage
Differences
Spelling standardisation follows local norms (financialisation UK, financialization US). Usage is equally academic in both varieties.
Connotations
Primarily a critical or analytical term; often implies a negative evaluation of economic trends in both varieties.
Frequency
Very low in everyday speech; almost exclusively found in academic, journalistic, or policy discussions in both the UK and US.
Grammar
How to Use “financialization” in a Sentence
financialization of [NOUN PHRASE] (e.g., of the economy, of housing, of everyday life)Vocabulary
Collocations
Examples
Examples of “financialization” in a Sentence
verb
British English
- The economy has been increasingly financialised over the past decades.
- Policymakers warned against financialising the housing market.
American English
- Corporations have financialized their operations to boost short-term profits.
- Critics argue we have financialized the American dream.
adverb
British English
- [No common adverbial form in use]
American English
- [No common adverbial form in use]
adjective
British English
- The financialised economy is more prone to crises.
- He studied financialised capitalism.
American English
- Financialized markets are highly volatile.
- The financialized system creates inequality.
Usage
Meaning in Context
Business
Rare; may appear in high-level strategy reports or critiques of market trends.
Academic
Common in economics, political economy, sociology, and critical theory literature.
Everyday
Extremely rare to non-existent.
Technical
Used as a precise term in economic analysis and policy discussions.
Vocabulary
Synonyms of “financialization”
Vocabulary
Antonyms of “financialization”
Watch out
Common Mistakes When Using “financialization”
- Misspelling (e.g., 'finacialization'), Incorrect pluralization (it is uncountable), Using in informal contexts.
FAQ
Frequently Asked Questions
It is primarily a descriptive academic term but is most often used in a critical context to highlight perceived negative consequences of finance dominating the real economy.
No, it is a highly specialised term. Using it in casual talk would likely confuse listeners. Simpler terms like 'the growth of finance' or 'more focus on money markets' are better.
'Monetization' usually means converting something into money or finding a way to profit from it. 'Financialization' is broader, describing a systemic shift where financial activities and thinking come to dominate entire economic systems.
Yes, the verb is 'to financialize' (US) / 'to financialise' (UK). It means to bring under the influence or control of financial institutions or motives.
The process by which financial institutions, markets, and instruments gain greater influence over economic policy and economic outcomes.
Financialization is usually academic / formal / technical in register.
Financialization: in British English it is pronounced /fʌɪˌnænʃəlaɪˈzeɪʃ(ə)n/, and in American English it is pronounced /fəˌnænʃəlaɪˈzeɪʃ(ə)n/. Tap the audio buttons above to hear it.
Phrases
Idioms & Phrases
- “[No common idioms use this term]”
Learning
Memory Aids
Mnemonic
Think: FINANCIAL + IZATION. It's the act of turning something (like an economy or a house) into a FINANCIAL object or target.
Conceptual Metaphor
ECONOMY AS CASINO (financialization turns productive activity into speculative gambling).
Practice
Quiz
In which context is the term 'financialization' MOST appropriately used?