Capital flight can occur due to A) government regulations on interest rates B) inappropriate economic policies C) the threat of government seizure of local assets D) high taxes on local investments
Capital flight can occur due to A) government regulations on interest rates B) inappropriate economic policies C) the threat of government seizure of local assets D) high taxes on local investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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INTRODUCTION
Large scale evacuation of financial assets and capital of a nation is called capital flight. It occurs as a result of the removal of assets and money by the investors due to economic instability,devaluation etc. It increases the amount of debt.
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