Asked by Rebecca Hasanin on May 11, 2024

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According to dependency theorists, investment by multinational corporations tends to positively benefit the rich countries and result in negative consequences for poor countries.

Dependency Theorists

Scholars who argue that economic disparities between nations arise from the exploitation of poorer countries by wealthier ones, leading to a state of dependency.

Multinational Corporations

Entities that operate in multiple countries beyond their home base, usually to maximize market reach and optimize production costs.

Rich Countries

Nations with high gross domestic product (GDP) per capita, indicating a high level of economic prosperity and standard of living.

  • Analyze the concepts of economic growth, encompassing theories of modernization, dependency, and the world-systems approach.
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Rosefe PortosaMay 16, 2024
Final Answer :
True
Explanation :
Dependency theorists argue that investments by multinational corporations in poor countries often lead to exploitation and increased inequality, benefiting the rich countries at the expense of the poor ones.