It has been estimated by the United Nations that the total external debt of developing countries has been increasing by about $425 billion each year. What is least likely to have contributed to this?
- (A)disincentives for foreign direct investment through political instability
- (B)increased government subsidies for the development of tourism industries
- (C)withdrawal of multinational companies due to delays in the award of government contracts
- (D)worsening of the terms of trade with partners in developed economies
Mark scheme
Marking points from the official mark scheme (Oct/Nov 2019). The mark or mark type is shown in brackets.
- [1] B
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