When a government seizes an investment of a foreign investor but some reimbursement for the assets is made, the government follows a process called
A) confiscation.
B) expropriation.
C) domestication.
D) exchange controls.
E) local-content laws.

Question

Quizplus · Accepted Answer

Expropriation refers to the act of a government taking privately owned property, to be used for the benefit of the public, with compensation being provided to the owner. This distinguishes it from confiscation, where no compensation is provided.

When a Government Seizes an Investment of a Foreign Investor