The hypothetical country of Austrica requires foreign companies that buy and sell Austrica products to use only Austrica currency in these transactions. Austrica is using ______ as a means of controlling international trade.
A) governmentally granted rights
B) exchange control
C) international currency trading
D) local banks

Question

Quizplus · Accepted Answer

Austrica is using exchange control as a means of controlling international trade by requiring the use of Austrica currency in transactions involving Austrica products. This is a form of restriction on the use of foreign currency in the country, which falls under the category of exchange control measures.

The Hypothetical Country of Austrica Requires Foreign Companies That Buy