The factor that limits economic growth among those options is having low internal demand.

Correct option

  • Making investments: This usually boosts growth by increasing capital, productivity, and output, so it is a driver of growth, not a limiter.
  • Developing technology: This raises productivity and supports long‑run growth, so it also promotes rather than restricts growth.
  • Engaging in trade: Openness to trade generally expands markets, improves efficiency, and supports higher growth.
  • Having low internal demand : Weak consumer and business demand inside a country reduces sales, discourages production and investment, and therefore limits economic growth.

So, the best answer to “which describes a factor that limits economic growth?” is: having low internal demand.