Capital flight from less developed to developed countries tends to offset capital infusions from developed countries.

Question

Quizplus · Accepted Answer

Capital flight refers to the movement of capital from one country to another often in response to economic or political instability, low returns on investment, or other factors. Capital flight from less developed to developed countries can negate capital infusions or investment from developed countries, causing a net outflow of capital from a country. Therefore, option A is true.

Capital Flight from Less Developed to Developed Countries Tends to Offset