Which of the Following Is a Home-Country Policy Aimed at Restricting

question 30

Multiple Choice

Which of the following is a home-country policy aimed at restricting outward FDI flow?

• A) taxing domestic companies' foreign earnings at a higher rate than their domestic earnings
• B) implementation of government-backed insurance programs to cover major types of foreign investment risk
• C) eliminating double taxation of foreign income
• D) persuading host countries to relax their restrictions on inbound FDI

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