When investment occurs in developing nations

Question

Quizplus · Accepted Answer

When investment occurs in developing nations, investors hope to gain significant returns on their investment and residents gain higher rates of economic growth. This is because investment can bring in new technology, infrastructure development, and job opportunities, leading to increased productivity and income levels. However, there may also be challenges such as corruption, inadequate governance, and environmental degradation that need to be addressed to ensure sustainable development. Option B is incorrect because there are many examples where investment has led to higher rates of economic growth in developing nations. Option C is partly true, as investment can lead to more pollution if environmental regulations are not in place, but this is not always the case. Option D is incorrect as it portrays a negative stereotype that assumes all government officials in developing nations are corrupt.

When Investment Occurs in Developing Nations