A developing country is experiencing rapid industrialization and is implementing basic education reforms. However, many citizens feel that foreign companies exploit local resources without contributing to social development. Based on the critiques of Modernization Theory, which statement best reflects the situation?

The situation in the developing country illustrates a key critique of Modernization Theory, which suggests that economic growth will naturally lead to social development. Many citizens feel that foreign companies are taking advantage of their resources but not helping improve education, health, or infrastructure. This highlights the idea that simply having industrialization does not guarantee that all community members will benefit equally. For example, if a foreign factory is built, it may create jobs but could also lead to environmental damage or low wages, leaving citizens frustrated. This reflects the critique that development should not only focus on economic growth but also consider social equity and community well-being.