Exporting countries primarily agree to voluntary export restraints (VERs) to
A) minimize exposure in the importing country.
B) reduce market competitiveness.
C) avoid stiffer quotas being set by the importing country.
D) take over local industries of the importing country.
E) avoid criminal prosecution.

Question

Quizplus · Accepted Answer

Voluntary export restraints (VERs) are typically agreed upon by exporting countries to avoid the imposition of stiffer, more restrictive quotas or tariffs by the importing country. This can be a strategic move to maintain access to a valuable market while addressing concerns of the importing country about protecting its domestic industries.

Exporting Countries Primarily Agree to Voluntary Export Restraints (VERs) to