Capital flight

flight of capitalcapital moved outfled the countryflight of liquid capitalflowing outoutflow of capital
Capital flight, in economics, occurs when assets or money rapidly flow out of a country, due to an event of economic consequence.wikipedia
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Illicit financial flows

Illicit capital flight
Illegal capital flight, also known as illicit financial flows, is intended to disappear from any record in the country of origin and earnings on the stock of illegal capital flight outside of a country generally do not return to the country of origin.
Illicit financial flows, in economics, are a form of illegal capital flight that occurs when money is illegally earned, transferred, or spent.

1997 Asian financial crisis

Asian financial crisisAsian economic crisisEast Asian financial crisis
Perhaps the most consequential of these was the 1997 Asian financial crisis that started in Thailand and spread though much of East Asia beginning in July 1997, raising fears of a worldwide economic meltdown due to financial contagion.
Capital flight ensued, beginning an international chain reaction.

Policy

policiespolicymakerspolicymaker
The presence of capital flight indicates the need for policy reform.
Depending on the size of the tax increase, this may have the overall effect of reducing tax revenue by causing capital flight or by creating a rate so high that citizens are deterred from earning the money that is taxed.

Devaluation

devalueddevaluecurrency devaluation
This leads to a disappearance of wealth, and is usually accompanied by a sharp drop in the exchange rate of the affected country—depreciation in a variable exchange rate regime, or a forced devaluation in a fixed exchange rate regime.
A devaluation could also result in an outflow of capital and economic instability.

Argentina

ArgentineARGArgentinian
The Argentine economic crisis of 2001 was in part the result of massive capital flight, induced by fears that Argentina would default on its external debt (the situation was made worse by the fact that Argentina had an artificially low fixed exchange rate and was dependent on large levels of reserve currency).
A massive capital flight was responded to with a freezing of bank accounts, generating further turmoil.

Russia

Russian FederationRUSRussian
In the last quarter of the 20th century, capital flight was observed from countries that offer low or negative real interest rate (like Russia and Argentina) to countries that offer higher real interest rate (like the People's Republic of China).
Many of the newly rich moved billions in cash and assets outside of the country in an enormous capital flight.

Real interest rate

negative real interest ratesrealinterest rate
In the last quarter of the 20th century, capital flight was observed from countries that offer low or negative real interest rate (like Russia and Argentina) to countries that offer higher real interest rate (like the People's Republic of China).
The real interest rate is used in various economic theories to explain such phenomena as capital flight, business cycles and economic bubbles.

Wealth tax

capital taxwealthwealth taxes
A 2006 article in The Washington Post gave several examples of private capital leaving France in response to the country's wealth tax.
The article gave examples of how the tax caused capital flight, brain drain, loss of jobs, and, ultimately, a net loss in tax revenue.

Capital strike

investment strike
Capital strikes are commonly invoked as the business-owner/shareholder equivalent of a labor strike, and are often tied to the concept of capital flight''.

Capital outflow

In the run up to the British referendum on leaving the EU there was a net capital outflow of £77 billion in the preceding two quarters, £65 billion in the quarter immediately before the referendum and £59 billion in March when the referendum campaign started.

Economics

economiceconomisteconomic theory
Capital flight, in economics, occurs when assets or money rapidly flow out of a country, due to an event of economic consequence.

Asset

assetstotal assetstangible asset
Capital flight, in economics, occurs when assets or money rapidly flow out of a country, due to an event of economic consequence.

Money

monetaryspeciecash
Capital flight, in economics, occurs when assets or money rapidly flow out of a country, due to an event of economic consequence.

Tax

taxationtaxeslevy
Such events could be an increase in taxes on capital or capital holders or the government of the country defaulting on its debt that disturbs investors and causes them to lower their valuation of the assets in that country, or otherwise to lose confidence in its economic strength.

Capital (economics)

capitalcapital flowsinvestment capital
Such events could be an increase in taxes on capital or capital holders or the government of the country defaulting on its debt that disturbs investors and causes them to lower their valuation of the assets in that country, or otherwise to lose confidence in its economic strength.

Default (finance)

defaultdefaulteddefaults
The Argentine economic crisis of 2001 was in part the result of massive capital flight, induced by fears that Argentina would default on its external debt (the situation was made worse by the fact that Argentina had an artificially low fixed exchange rate and was dependent on large levels of reserve currency). Such events could be an increase in taxes on capital or capital holders or the government of the country defaulting on its debt that disturbs investors and causes them to lower their valuation of the assets in that country, or otherwise to lose confidence in its economic strength.

Investor

financierinvestorsfinanciers
Such events could be an increase in taxes on capital or capital holders or the government of the country defaulting on its debt that disturbs investors and causes them to lower their valuation of the assets in that country, or otherwise to lose confidence in its economic strength.

Real versus nominal value (economics)

inflation-adjustednominal valuenominal
This fall is particularly damaging when the capital belongs to the people of the affected country, because not only are the citizens now burdened by the loss in the economy and devaluation of their currency, but probably also, their assets have lost much of their nominal value.

Purchasing power

buying powerby the ability to paycurrent purchasing power
This leads to dramatic decreases in the purchasing power of the country's assets and makes it increasingly expensive to import goods and acquire any form of foreign facilities, e.g. medical facilities.

Balance of payments

balance of paymentbalance-of-paymentsaccount balance
It is indicated as missing money from a nation's balance of payments.

South Africa

South AfricanRepublic of South AfricaRSA
Post-apartheid South African cities are probably the most visible example of this phenomenon as a result of high crime and violence rates in black majority cities, and flight of capital from central cities to the suburbs that ring them was also common throughout the second half of the twentieth century in the United States likewise as a result of crime and violence in inner cities.

United States

AmericanU.S.USA
Post-apartheid South African cities are probably the most visible example of this phenomenon as a result of high crime and violence rates in black majority cities, and flight of capital from central cities to the suburbs that ring them was also common throughout the second half of the twentieth century in the United States likewise as a result of crime and violence in inner cities.

Resource-based economy

Money-free marketnatural resources economicsResource based economy
Countries with resource-based economies experience the largest capital flight.