The correct answer is B) inner-city overcrowding.
The challenge of urbanization and industrialization that is showed in the photo is inner-city overcrowding.
Industrialization brought many benefits for the modernization of the country but also brought negative things such as the inner-city overcrowding and pollution issues. As shown in the photo, many people inhabited the larger cities in America. People that lived in the rural areas of the country decided to get a chance at the industries and factories in order to have a better life for them and their families, so they moved to the cities. Soon, the cities were full of people. So yes, The challenge of urbanization and industrialization that is showed in the photo is inner-city overcrowding.