In North Korea there is little foreign investment. One of the reasons is the severe application of ___. Any foreign investor or producer is required to sell its products at prices stated by the North Korean government rather than letting market value and demand determine prices.
A) exchange controls
B) local-content laws
C) import restrictions
D) tax controls
E) price controls

Question

Quizplus · Accepted Answer

Essential products that command considerable public interest, such as pharmaceuticals, food, gasoline, and cars, are often subjected to price controls. Such controls applied during inflationary periods can be used to control the cost of living. They also may be used to force foreign companies to sell equity to local interests.

In North Korea There Is Little Foreign Investment