Post by Baron von Lotsov on Dec 3, 2022 15:51:57 GMT
Capital flight, in economics, occurs when assets or money rapidly flow out of a country, due to an event of economic consequence or as the result of a political event such as regime change or economic globalization. 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.
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. 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 their assets have lost much of their nominal value. 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.
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. 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 their assets have lost much of their nominal value. 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.
And to show you how this happens, here is a report on Nexperia and how they got ripped off by the UK government. They have lost hundreds of millions of dollars and are currently taking legal action against the British government. If you want a report on their crime you can watch this.
You see once a government acts criminally once the investors get cold feet.
The Newport wafer fab does indeed believe they are advanced, but 200nm fabrication is like the dinosaur age of chips. Even Russia can do 92nm and China is mass producing 28nm and can get down to 7nm, whilst Taiwan is ramping up 3nm production and has 5nm in full production.
Our government are fucking idiots and total betrayers of the people who live here.
