The sustained flow of foreign investment into developing nations:
A) has resulted in the rise of communism in those countries.
B) has been increasing since the 1980s.
C) is aimed at Western powers building political influence in those regions.
D) is detrimental to the economic growth in those countries.
E) has resulted in a declining trend for firms from these countries to invest outside their borders.

Question

Quizplus · Accepted Answer

Foreign investment in developing nations has been increasing since the 1980s as these countries are seen as potential growth markets by foreign investors. This investment can provide the necessary capital and technology for these countries to develop their infrastructure, increase exports, and create more jobs. While there may be some negative effects, such as the potential for exploitation or environmental damage, overall, foreign investment can be beneficial for developing nations.

The Sustained Flow of Foreign Investment into Developing Nations