The World Bank's Mission Is to Lend Money to Developing

question 295

Multiple Choice

The World Bank's mission is to lend money to developing nations to help boost their economic development in various industries. Since its inception, the World Bank has taken significant criticism of its programs. Farmers in a cooperative in the developing nation of Forlornia have benefited by World Bank loans. Most recently, however, their processing facilities that employ several laborers are taking criticism from human rights organizations. After studying this chapter, which of the following is a common criticism of these groups?

• A) The loans are too small, for all practical purposes. Farmers are spending their funds on sustainability measures rather than producing the most they can from each crop.
• B) Working conditions in the processing plant are unacceptable, similar to sweatshop conditions.
• C) Forlornia is most likely not paying back its loans, and still asking for the World Bank to raise its debt ceiling.
• D) Farmers who own the cooperative are not vaccinating their workers against AIDS, even though the World Bank partners with pharmaceutical firms who provide free AIDS medications.

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Definitions:

Movie Rental

A service that allows consumers to temporarily access films for a fee without purchasing them outright.

Marginal Utility

The extra pleasure or advantage (utility) a person receives from using an additional unit of a product or service.

Marginal Utility

The additional satisfaction or benefit received from consuming one more unit of a good or service.

Movie Rental

The practice of paying a fee to borrow a film for a limited period, traditionally through physical stores, or digitally via online platforms.