The country of Erbia can discourage foreign investment by:
A)requiring foreign investors to find a local partner who must be granted controlling interest.
B)setting the same exchange rates for different categories of transactions.
C)freely allowing private international borrowing and lending.
D)reducing government intervention in the market.
E)making consumers aware of the gains from freer trade.

Question

Quizplus · Accepted Answer

Requiring foreign investors to find a local partner who must be granted controlling interest can discourage foreign investment because it limits the foreign investor's control over the investment and potential profits. This can make the investment less attractive and more risky.

The Country of Erbia Can Discourage Foreign Investment By