Rethinking the measurement of capital flight: An application to Asian economies

Zheng, Yingmei and Tang, Kam Ki (2009) Rethinking the measurement of capital flight: An application to Asian economies. Journal of the Asia Pacific Economy, 14 4: 313-330. doi:10.1080/13547860903169308

Attached Files (Some files may be inaccessible until you login with your UQ eSpace credentials)
Name Description MIMEType Size Downloads

Author Zheng, Yingmei
Tang, Kam Ki
Title Rethinking the measurement of capital flight: An application to Asian economies
Journal name Journal of the Asia Pacific Economy   Check publisher's open access policy
ISSN 1354-7860
Publication date 2009-11-04
Year available 2009
Sub-type Article (original research)
DOI 10.1080/13547860903169308
Volume 14
Issue 4
Start page 313
End page 330
Total pages 18
Editor Lim, David
Place of publication United Kingdom
Publisher Routledge
Collection year 2010
Language eng
Subject C1
140210 International Economics and International Finance
Abstract This paper improves on the widely used residual method in order to estimate the magnitude of capital flight in eight Asian economies over the period of 1980-2004. The paper argues that as capital flight is a drain on financial resources for development, it is more appropriate to measure it against the size of the financial market, which can be proxied by money aggregate, in contrast to the common practice of measuring it as a percentage of gross domestic product. Using this more appropriate new measure, we find that capital flight is more severe in some financially underdeveloped countries than has been suggested previously. It is also found that while capital flight could be a dormant sideshow in a benign economic environment, it could have considerable impact on the availability of financial resources when activated.
Keyword capital flight
the residual method
Q-Index Code C1
Q-Index Status Confirmed Code

Document type: Journal Article
Sub-type: Article (original research)
Collections: 2010 Higher Education Research Data Collection
School of Economics Publications
Version Filter Type
Citation counts: TR Web of Science Citation Count  Cited 0 times in Thomson Reuters Web of Science Article
Scopus Citation Count Cited 0 times in Scopus Article
Google Scholar Search Google Scholar
Created: Mon, 22 Mar 2010, 19:09:00 EST by Alys Hohnen on behalf of School of Economics