The closing of plants and factories because of their obsolescence or employment of cheaper workers i...........

Sociology Preliminary Economic System and Society

The closing of plants and factories because of their obsolescence or employment of cheaper workers in other nations is known as:

capital flight

capital destabilization

deindustrialization

reindustrialization

Explanation:

- Capital Flight: This refers to a large-scale exit of financial assets from a country due to economic instability or unfavorable conditions.

- Capital Destabilization: This term is less commonly used and not generally recognized in economic discussions. It could imply a disturbance in capital markets or financial systems but does not directly relate to closing factories.

- Deindustrialization: This is the process of shutting down manufacturing plants because they are outdated or due to the relocation of jobs to countries with cheaper labor.

- Reindustrialization: This is the effort to revitalize and rebuild the manufacturing sector within a country.