Final answer:
Option C is answer. The development of water infrastructure by Bechtel Corporation led to protests and unrest in Bolivia due to worsening water service and increased rates.
Step-by-step explanation:
One consequence of Bechtel Corporation's efforts to develop water infrastructure in Bolivia was protests and unrest among locals. This incident, known as the Cochabamba Water War, occurred after Bechtel was awarded a contract to improve the city's water delivery system. However, instead of seeing an improvement, the residents of Cochabamba experienced a decline in service and an increase in rates. The public outcry eventually led to the Bolivian government siding with the protesters, expelling Bechtel, and revoking the privatization of water.
The Bechtel incident in Bolivia underscores the complexities of privatization, especially when it comes to essential services like water supply. The intended outcomes of increased efficiency and access to clean water were overshadowed by the negative impact of higher costs and poorer service, leading to significant social turmoil and a reevaluation of policies by institutions like the World Bank.