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Steve Roth's avatar

Something I don't understand in article #2:

"if a country has lots of flighty locals who view currency weakness as a reason to pull money out of the banking system — do a capital flight, in other words"

Bank deposit-holders can't "pull money out of the banking system." They can only xfer it to other holders/bank accounts. No effect on the outstanding stock of M2. ??? Thanks.

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