A(n)_____ Is a Law That Compels a Company Earning Foreign

question 160

Multiple Choice

A(n) _____ is a law that compels a company earning foreign currency from its exports to sell it to a central bank rather than sending the money out of the country.

• A) tariff
• B) quota
• C) fiscal prerequisite
• D) exchange control
• E) transfer barrier

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Definitions:

Farm Subsidies

Financial support and assistance provided by the government to farmers and agribusinesses to stabilize food prices, ensure a sufficient food supply, and support farmers' incomes.

Price and Income Support

Governmental policies or interventions designed to stabilize or increase agricultural prices and incomes through mechanisms such as subsidies or price controls.

Government Assistance

Programs and initiatives provided by governmental entities designed to support individuals, businesses, or specific sectors through financial aid, subsidies, or services.

Parity Ratio

A measure comparing the value of one type of good or service to another, often used in agriculture to compare crop prices to costs.