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Q.

What are the harmful effects of MNCs on a host country?


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a

Hamper's the development of local industries

b

They use capital-intensive techniques because unemployment increases.

c

Overexploit our country's natural resources

d

All of the above  

answer is D.

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Detailed Solution

All of the above are the harmful effects of MNCs on a host country.
There are several benefits MNCs provide to a country, but on the other hand, it has a lot of harmful effects too on the host country, which are as follows:
1)      MNCs increase the total production of a country. Still, it mostly uses capital-intensive techniques, which leads to unemployment problems, and in a country like India, this is a huge issue already.
2)      Local industries may experience slower growth due to MNCs' intense competition.
3)      By misusing the natural resources of the host nation, MNCs can harm the environment.
 
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