Author Question: MNEs often engage in transfer pricing for ________. A) stabilizing their annual revenues B) ... (Read 29 times)

AEWBW · **on:** Jul 7, 2018

MNEs often engage in transfer pricing for ________.

A) stabilizing their annual revenues
B) generating additional sales by depressing prices in developing countries and increasing prices in advanced economies
C) shifting profits out of a country that has high corporate income taxes into a country with low corporate income taxes to increase company-wide profitability
D) boosting productivity and efficiency in the long run

Question 2

Which of the following is a method of restricting trade?

A) export financing
B) local content requirements
C) subsidy
D) foreign trade zones