Category: Balance of Payments, Aid and Foreign Investment

Some economists and third-world policy makers criticize MNCs arguing that they have a negative effect on the developing country because they ?

I- increasing the LDC’s technological dependence on foreign sources resulting in less technological innovation by local workers
II- Hamper local entrepreneurship and investment in infant industries
III- increase unemployment rates from unsuitable technology
IV- Restrict subsidiary exports when they undercut the market of the parent company

A. I and II only
B. III and IV only
C. I, II and III only
D. I, II, III and IV