Final answer:
Oil trade benefits Nigeria by providing revenue from exports, which can be used for economic development and to purchase goods such as food. Given Nigeria's reliance on oil income, the correct answer is that the money from oil trade is used to buy food it cannot produce. Therefore, the correct option is C
Step-by-step explanation:
The trade of oil benefits Nigeria economically, as the country uses the revenue generated from oil exports to advance its own national interests. When Nigeria sells its oil to countries such as India, it receives valuable foreign exchange, which can be utilized to improve the nation's infrastructure, invest in education and healthcare, buy food that it cannot produce, or facilitate other developments that contribute to the welfare of its population. Given Nigeria's history of retaining oil wealth by both government and oil companies, option C (Nigeria uses the money to buy food it cannot produce) best represents one of the ways oil trade can benefit Nigeria.
Nigeria has been a major oil exporter and while it does benefit from the use of oil to power machines in factories, the main benefit of the trade for Nigeria is the financial income that comes from it. This financial aspect is critical because the global dependence on fossil fuels, albeit controversial from an environmental perspective, has been the bedrock of modern economies providing both a higher standard of living and numerous technological advances.