Електронний багатомовний

термінологічний словник

Electronic Multilingual Terminological Dictionary


Economics

Capital outflow

Capital outflow is the amount of money that leaves a country's economy and is then kept or invested in other countries during a particular period [Cambridge Dictionary].
Capital outflow is the movement of assets out of a country. Capital outflow is considered undesirable as it is often the result of political or economic instability. The flight of assets occurs when foreign and domestic investors sell off their holdings in a particular country because of perceived weakness in the nation's economy and the belief that better opportunities exist abroad. Excessive capital outflows from a nation indicate that political or economic problems exist beyond the assets' flight. Some governments place restrictions on capital outflow, but the implications of tightening restrictions are often an indicator of instability that can exacerbate the state of the host economy. Capital outflow exerts pressure on macroeconomic dimensions within a nation and discourages both foreign and domestic investment. Reasons for capital flight include political unrest, the introduction of restrictive market policies, threats to property ownership, and low domestic interest rates [Encyclopædia Britannica].

Sources:

Capital outflow. Investopedia. Retrieved from: https://www.investopedia.com/terms/c/capital-outflow.asp

Capital outflow. Cambridge Dictionary. Retrieved from: https://dictionary.cambridge.org/dictionary/english/capital-outflow

Part of speech noun
Countable/uncountable uncountable
Type abstract
Gender neutral
Case nominative