Nationalization refers to the transfer of private ownership of a company to state ownership. This can occur as a form of political/economic environment risk if a government forces the transfer without proper compensation to the private owners.

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Nationalization Is

Question 12

Multiple Choice

Nationalization is

A) a form of political/economic environment risk that can occur if a government forces the transfer of a firm's ownership from private to the state.
B) generally associated with a large amount of compensation by a government to a firm.
C) a principle that states no nation has the right to judge or challenge the internal actions of another state, provided that state has proceeded justly.
D) discrimination against foreign firms.
E) associated with governmental compensation for loss as a result of privatization.

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