Disembeddedness in Financial Times

Abstract

Abstract Chapter 5 delves deeper into the concept of “disembeddedness” in the era of finance. It examines the inadequacies of neoliberal risk regulation policies and instruments in protecting against systemic risks and safeguarding consumer interests, highlighting the shortcomings of micro-oriented, information-based regulatory methods and the problems stemming from the fragmented regulatory structure of US financial markets. The chapter argues that the systemic risks and challenges faced by consumers in financial markets, including predatory and unjust practices, are neither inherent to the markets nor solely the result of actions by a few greedy CEOs. Rather, they directly result from specific regulatory choices made by the American government in the three decades preceding the financial crisis.