Host governments use a range of controls to restrict FDI.The two most common are
A) monetary restraints and performance requirements.
B) technology transfer restraints and employment restraints.
C) ownership restraints and performance requirements.
D) employment restraints and repatriation limitations.
E) foreign corporate tax levies and ownership restraints.

Question

Quizplus · Accepted Answer

Host governments often use ownership restraints, such as limiting the percentage of ownership that foreign investors may have in local companies, and performance requirements, such as requiring certain levels of local content or technology transfer, to restrict FDI. Monetary restraints and foreign corporate tax levies are also used but are not as common. Employment restraints and repatriation limitations are less common and typically only used in specific cases.

Host Governments Use a Range of Controls to Restrict FDI