This article develops a new understanding of the financial centre as a unit of analysis. It draws on Pierre Bourdieu’s generative structuralism to argue that financial centres constitute fields that possess a distinctive habitus through which risk is judged. Furthermore, Douglass North’s New Institutional Economics is used to argue that this distinctive habitus is the product of a combination of "hard" and "soft" forces: economic and business structures, the role of states, social networks, and cultural factors. It pushes beyond a simple geographical understanding of the financial centre while asserting that the financial centre is indeed a critical level of analysis. Moreover, the approach taken strongly suggests the need for historians of finance to incorporate broader macro-level political, economic, social and cultural developments into their analyses.
|Title of host publication||Decision Taking, Confidence and Risk Management in Banks from Early Modernity to the 20th Century|
|Place of Publication||Basingstoke|
|Publisher||Palgrave Macmillan |
|Publication status||Published - 17 Jan 2017|
|Name||Palgrave Studies in the History of Finance|