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One of the physical measures that can be used t... - WAEC Economics 2016 Question

One of the physical measures that can be used to reduce the volume of imports is the

A
reduction of personnel income tax
B
removal of imports duties
C
use of foreign exchange control
D
liberalization of credit for importers
correct option: c

Foreign exchange control is the procedure by which a government intervenes in the foreign exchangemarket, banning or restricting sales and purchases of local currencies by non-residents as well as sales and purchases of foreign currencies by residents. when there is no foreign exchange to engage in international trade, imports will fall

 

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