Which of the Following Statements Correctly Identifies an Advantage of Using

question 69

Multiple Choice

Which of the following statements correctly identifies an advantage of using foreign aid to eradicate poverty?

• A) It leads to a redistribution of income around the world.
• B) It is extremely efficient in countries where institutions are extractive.
• C) It directly increases the efficiency of production in poorer countries.
• D) Its flow is transparent and can be questioned by all individuals in the receiving country.

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Definitions:

Compensatory

Relating to compensation, this term refers to benefits or payments awarded to individuals as restitution for loss, damage, or injury suffered.

Punitive Damages

Financial restitution given to a victim that surpasses the required amount for compensating damages and serves to discipline the perpetrator.

Property Insurance Policy

An insurance policy that provides financial reimbursement to the owner or renter of a structure and its contents, in case of damage or theft.

Beneficiary

A legal term referring to an individual or entity entitled to receive benefits or assets under the terms and provisions of a will, trust, insurance policy, or other contract.