Animax Limited got an order to sell 50,000 central processing units (C

QUESTION

Animax Limited got an order to sell 50,000 central processing units (CPUs) to Palladia, but the Palladian government stipulated that 15 percent of the component parts of those CPUs must be produced in Palladia.

This stipulation by the Palladian government would be example of a(n):

A. voluntary export restraint.

B. quota rent.

C. import quota.

D. local content requirement.

E. antidumping policy.

ANSWER

D