Financialization
Etymology
The term emerged in economics and sociology in the late 20th century to describe the rising share of profits and activity flowing through finance. “Finance” comes through Old French “finer,” to settle or pay, from “fin,” an end — originally the settling of a debt.
noun · /fy-nan-shuh-lih-ZAY-shun/
The growing dominance of financial markets, motives, and institutions over the real economy of producing goods and services.
What it names
A structural shift — when companies make more from financial engineering than from their products, and when housing, water, and art become assets to trade rather than things to use.
Example
Critics blame financialization for firms buying back stock instead of investing in workers or research.
Related idea
It overlaps with commodification, which turns things into market goods; financialization goes further, turning those goods into tradable financial assets valued for their yield.