JAMB 2023 Economics · Question 64
One major criticism of foreign aid to developing countries is that it
Options
- A.Gives too much power and control to world bank
- B.Encourages growth in government bureaucracy
- C.Is capital using rather than capital saving
- D.Provides incentives for capital flight
Answer: B. Encourages growth in government bureaucracy
Explanation written with AI and checked against the answer key
Step 1: Analyze the question The question asks for a major criticism of foreign aid to developing countries. We need the option that best matches a commonly cited weakness of aid.
Step 2: Explain the concept Foreign aid is assistance (grants, soft loans, technical help) given by developed countries or international organisations to developing countries. Critics argue that:
- Aid is often tied to conditions that favour the donor.
- It creates dependency.
- Aid is channelled through governments, which can expand bureaucracy and encourage waste and corruption instead of boosting productive private enterprise.
- Aid can displace local initiative and savings.
Step 3: Evaluate each option
- A. Gives too much power and control to the World Bank: The World Bank is only one of many aid sources. Bilateral aid doesn't involve it, so this is not the general criticism.
- B. Encourages growth in government bureaucracy: Aid flows mainly to and through governments. This enlarges administrative machinery, creates rent-seeking opportunities, and can promote inefficiency and corruption. This is a well-known criticism in development economics.
- C. Is capital using rather than capital saving: This describes a type of technology or production, not a standard criticism of aid.
- D. Provides incentives for capital flight: Capital flight is sometimes linked to corrupt use of aid funds, but it is a side effect rather than the main textbook criticism.
Step 4: Answer The best choice is B. Encourages growth in government bureaucracy.
Tip: For "criticism of foreign aid" questions, think of the keywords: dependency, tied aid, corruption, bureaucracy, debt burden. Pick the option that matches these recurring themes.
AI can make mistakes. Report anything that looks wrong.
Past questions © the examination body (JAMB/WAEC/NECO). DeeepSolve is not affiliated with them. Rights holders: see /copyright.
