The ability of a foreign investor to commit capital to a particular purpose in a given country depends on the laws and regulations of that country. As indicated in Chapter 5, unless a treaty provides otherwise, each state has complete sovereignty to control the movement of capital into its territory, to regulate all matters pertaining to the acquisition and transfer of property within its national boundaries, to determine the conditions for the exercise of economic activity by natural or legal persons, and to control the entry and activities of aliens.1 For the...
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