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How Does a Nation Limit Foreign Investment in the Industries

Question 12

Multiple Choice

How does a nation limit foreign investment in the industries that the nation considers to be sensitive?


A) Firms in sensitive industries are typically owned by the government and foreign investment is limited to short-term loans to firms in sensitive industries.
B) Foreign investment in a nation's sensitive industries is usually limited to minority ownership in a firm in a sensitive industry.
C) Foreign investors in firms in sensitive industries in a nation are usually required to place their ownership interests in those firms in trust with a government agency.
D) Any foreign investment in a firm in a sensitive industry must be approved by the government that considers the industry to be sensitive.

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