leakage
n. C / Un. the loss of money or resources from a system. In economics, it happens when money leaves a country's economy instead of being spent or invested there.
n. the withdrawal of potential spending from the circular flow of income. Occurs when income is diverted into savings, taxes, or imports rather than being reinvested into domestic production.
High taxes can lead to capital leakage from the local economy.
Economists are concerned that the increase in imports is causing significant leakage, preventing the stimulus package from boosting domestic growth.
In a closed economy, the circular flow remains internal, but global trade introduces leakage through imports and capital outflows that must be balanced by injections like exports or government spending.
From leak + -age.
Uncountable when referring to the general phenomenon; countable when identifying specific instances or types of resource loss.