ahn2014
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Vinny Gambini
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Q23 - A developing country can substantially increase its ec

by ahn2014 Thu Feb 05, 2015 6:38 pm

I eliminated (C) because initially I thought it is not supported by stimulus.

Is it because "adding incentive for investment" is equivalent to "being willing to invest"?


Please help me to be convinced.

Thank you
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rinagoldfield
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Re: Q23 - A developing country can substantially increase its ec

by rinagoldfield Fri Feb 06, 2015 6:17 pm

Thanks for your post, ahn2014 ! You are right that answer choice (C) isn’t precisely in the stimlulus, but it is the most supported answer choice.

The stimulus states that:

If businesspeople invest in new modern industries, then a developing country can increase its $
However, there aren’t a lot of incentives for businesspeople to invest in those industries.

Choice (C) puts these two thoughts together and adds an inference. If the government creates the investment incentives that are otherwise lacking, then businesspeople may invest in new modern industries. As a result, the developing country can increase its $. This answer choice is supported.

(A) Is unsupported. The stimulus offers no evidence as to whether further investment will help or harm a country’s growth.

(B) Is an unsupported comparison. The stimulus does not set the competition within traditional and modern industries side-by-side.

(D) is negated logic – it flips around the first part of the stimulus, essentially saying “if business people DO NOT invest in modern technologies, then the developing countries CAN NOT increase its $.”

(E) is also negated logic. The stimulus says that being the first means risk; that does not imply that NOT being the first means LITTLE risk.


Hope that helps!