Difference between revisions of "Capital flight"

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'''Capital flight''' refers to the large-scale movement of capital out of a particular country. It is frequently in response to economic instability and/or perceived risks. Capital flight can involve both legal and illegal transfers of assets, driven by factors like political/economic uncertainty, currency devaluation, [[economic sanctions]], or high [[interest rate]]s in other countries.  
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'''Capital flight''' refers to the large-scale movement of [[capital]] out of a particular country. It is frequently in response to economic instability and/or perceived risks. Capital flight can involve both legal and illegal transfers of assets, driven by factors like political/economic uncertainty, currency devaluation, [[economic sanctions]], or high [[interest rate]]s in other countries.  
  
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[[Trade imbalance]]s or [[trade deficit]]s is another form of cross-border capital transfers.
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== See also ==
  
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*[[Venture capital]]
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*[[Corruption]]
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== External links ==
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*[https://corporatefinanceinstitute.com/resources/economics/capital-flight/#:~:text=In%20economics%2C%20capital%20flight%20is,economic%20consequences%20to%20that%20country. Capital Flight], Corporate Finance Institute
  
 
[[Category: Economics]]
 
[[Category: Economics]]

Latest revision as of 01:18, May 12, 2025

Capital flight refers to the large-scale movement of capital out of a particular country. It is frequently in response to economic instability and/or perceived risks. Capital flight can involve both legal and illegal transfers of assets, driven by factors like political/economic uncertainty, currency devaluation, economic sanctions, or high interest rates in other countries.

See also

External links