A major criticism of foreign aid to developing nations is that it
A) is capital saving rather than capital intensive.
B) provides incentives for a brain drain.
C) encourages corruption and misuse of funds.
D) gives too much power and control to the International Monetary Fund.

Question

Quizplus · Accepted Answer

Foreign aid has been criticized for encouraging corruption and misuse of funds, rather than being used for its intended purpose of development. This can lead to a dependency on foreign aid and perpetuate a cycle of poverty rather than promoting sustainable economic growth. Additionally, there have been cases of aid money being used for fraudulent activities and lining the pockets of government officials rather than being invested in infrastructure and public services.

A Major Criticism of Foreign Aid to Developing Nations Is