Which statement best describes the implications of borrowing too much money from other countries?
A) Countries with high debt loads,such as Kenya,found that along with repayment and economic restructuring came massive unemployment and reduced incomes.
B) Libya spent borrowed money on military hardware and other nonproductive investments.
C) Debt repayment in Latin America brought with it more money for social services and health care.
D) Sub-Saharan Africa increased its power to make decisions based on its own interests.

Question

Quizplus · Accepted Answer

Borrowing too much money from other countries can lead to high debt loads, which can result in economic restructuring and reduced incomes. This is exemplified by the experience of Kenya, which struggled with massive unemployment and economic problems after borrowing heavily. Libya's use of borrowed money for military hardware and other nonproductive investments highlights the risk of misuse of borrowed funds. Debt repayment in Latin America did lead to more money for social services and health care, but this is not the only outcome of borrowing too much money from other countries. Similarly, while Sub-Saharan Africa may gain more decision-making power, this is not a direct result of borrowing too much money from other countries.

Which Statement Best Describes the Implications of Borrowing Too Much