Document Type : Research Paper

Author

• Iesa Piri

Abstract

The present article focuses on metropolitan economy which is in fact a potential platform for periodic crisis, from the view point of the recent theory of systematic risk proposed by great scholars of political economy, such as David Harvey, Jivany Origi, John Belami Faster, and Joseph Estiglitz. Systematic risk is informed by accumulated surplus challenge which is discussed in Marxist theory. But the main difference between systematic risk and Marxist theory is in the platform in which it is realized. Systematic risk is realized in modern financial and credit capitalism, while accumulated surplus theory is realized in industrial capitalism and Fordist manufacturing. Dominant debate in urban policy is parallel with accumulated surplus, concentration, prosperity government and municipalism, while systematic risk mainly emphasizes on a kind of spatial, social-economical post Fordist system and scattered consistency caused by local social events and multiplied urban policy and good governance.

Keywords

• systematic risk
• metropolitan
• financialism of capital
• bubble
• good governance