Rather Than Pay Renato a High Money Wage, His Employer

Multiple Choice

Rather than pay Renato a high money wage, his employer gives Renato land to till for his own use. However, without a good wage, Renato does not have money to spend on manufactured goods, which then reduces the success of local small industry. This arrangement would encourage which of the following economic situations in Renato's homeland?

A) underdevelopment
B) development
C) capitalism
D) dependency