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What Are Currency Exchange Controls, Why Are They Used, and How

question 42

Essay

What are currency exchange controls, why are they used, and how might they influence the international manager located in an exchange-controlled environment?


Definitions:

Contract

An agreement creating obligations enforceable by law between two or more parties.

Promissory Estoppel

A legal principle preventing a party from withdrawing a promise made to another party, especially if the latter has relied on that promise to their detriment.

Tort of Negligence

A legal claim arising from a breach of the duty of care that results in harm or loss to another person.

Contributory Negligence

A failure to take reasonable care, which contributes to the injury complained of.

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