Which of the Following Statements Is True of Foreign Aid

Multiple Choice

Which of the following statements is true of foreign aid?

A) Foreign aid is characterized by short repayment periods and low interest rates.
B) Foreign aid is characterized by long repayment periods and high interest rates.
C) Foreign aid works better to eradicate poverty in countries with inclusive institutions than in countries with extractive institutions.
D) Foreign aid will work better to eradicate poverty in countries with extractive institutions than in countries with inclusive institutions.