Servicing foreign debt is a serious challenge for some poorer countries more than others. In the 1980s and 1990s some countries borrowed heavily to finance economic growth but at a heavy price. Which world region or country has had the most serious debt service problem?
A) the United States
B) Latin America
C) China
D) Southeast Asia

Question

Quizplus · Accepted Answer

Latin America had a serious debt crisis in the 1980s and 1990s due to heavy borrowing to finance economic growth, leading to difficulties in servicing their foreign debt. The other regions and countries listed have not faced similar levels of debt service problems as Latin America.

Servicing Foreign Debt Is a Serious Challenge for Some Poorer