The MAI would make the situation worse. Of course, the removal of these policy measures would make it more difficult to resolve BOP deficits. In these negotiations, it may be possible to reopen the issue of the fairness of such prohibitions. The MAI would make the situation worse. Governments now control the quantity and quality of foreign investment, and can limit the percentage of foreign equity, preferring joint ventures so that a share of the profits is retained by locals.
Some countries limit the outflow of profits.
These measures would be outlawed. Inability to regulate entry will increase the foreign share of equity. Removal of joint-venture arrangements would further raise foreign equity. Together, these would raise the foreign share of profits in the economy. Given international trends, corporate tax is being progressively reduced.