Dead capital is most likely to exist when

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Dead capital refers to property that is not recognized or registered by the government, which prevents it from being used as collateral, sold, or used as a basis for investment. When residents of a country face barriers to establishing legal ownership of resources, dead capital is likely to exist. This can occur due to bureaucratic inefficiencies, corruption, or unclear property rights systems. Restrictions on imports or exports may impact economic growth, but they do not directly relate to the concept of dead capital. Well-defined property rights can actually help reduce dead capital by providing clear ownership and usage guidelines.

Dead Capital Is Most Likely to Exist When