Sasha is a well-educated entrepreneur who operated a small business in her home country of Evensplitia. At the encouragement of American relatives, Sasha recently immigrated to the United States and applied for citizenship. "In Evensplitia, tax rates were very high," Sasha complained. "The government used my taxes to finance all sorts of social programs to help the less fortunate. While I want to help, it has really undermined the profit incentive of individuals such as me. I feel those high taxes have stunted economic growth." Sasha's comments illustrate the reason many socialist countries are experiencing a(n):

Brain Drain

Explanation:

Brain Drain is the social and demographic phenomenon that occurs when a country losing a significant part of its well-educated or highly-skilled population to immigration to other countries.

Sasha (going by her name, she is probably Eastern-European) is an example of brain drain because she is a well-educated person who owned a small business, providing a net benefit for the economy of her country of origin.

Because of socialist policies such as high taxation on producers in order to finance government income redistribution policies, Sasha felt that she was not earning as much as she could, or wanted to, and decided to emigrate to a country with lower tax rates (the United Sates). She cared more about her own profit-motive than about any social safety net.

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