The Primary Criticism of the World Bank Is That It

question 2

Multiple Choice

The primary criticism of the World Bank is that it is a puppet of Western industrialized countries that:

• A) use the World Bank to settle trade disputes.
• B) do not allow the World Bank to objectively review trade policies.
• C) use World Bank loans to promote their globalization efforts.
• D) subsidize the World Bank in order to maintain a stable monetary policy.
• E) all of these.

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Definitions:

Economic Efficiency

A situation in which it is not possible to improve overall economic welfare by reallocating resources amongst individuals, implying no waste is occurring.

Deregulated Industry

An industry where government restrictions on business operations, such as price controls and market entry, have been reduced or eliminated.

Pork-Barrel Politics

involves government spending for localized projects secured primarily to bring money to a representative's district, often criticized as wasteful or aimed at gaining political favor.

Comprehensive Legislation

refers to wide-ranging laws or legal provisions that address multiple aspects of a particular issue or regulatory area.