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12 years ago---weakening

Expert replies
by champmag » Sun May 15, 2011 7:55 pm
Twelve years ago and again five years ago, there were extended periods when the Darfir Republic's currency,the pundra, was weak: its value was unusually low relative to the world's most stable currencies. Both times a weak pundra made Darfir's manufactured products a bargain on world markets, and Darfir's exports were up substantially. Now some politicians are saying that, in order to cause another similarly sized increase in exports, the government should allow the pundra to become weak again.

Which of the following, if true, provides the government with the strongest grounds to doubt that the politicians'recommendation, if followed, will achieve its aim?

A. Several of the politicians now recommending that the pundra be allowed to become weak made that same
recommendation before each of the last two periods of currency weakness.
B. After several decades of operating well below peak capacity, Darfir's manufacturing sector is now operating at near-peak levels.
C. The economy of a country experiencing a rise in exports will become healthier only if the country's currency is strong or the rise in exports is significant.
D. Those countries whose manufactured products compete with Darfir's on the world market all currently have stable currencies.
E. A sharp improvement in the efficiency of Darfir's manufacturing plants would make Darfir's products a bargain on world markets even without any weakening of the pundra relative to other currencies.
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Source: — Critical Reasoning |

by pemdas » Sun May 15, 2011 9:12 pm
it's amazing how careful reading clears the doubt
Twelve years ago and again five years ago, there were extended periods when the Darfir Republic's currency,the pundra, was weak: its value was unusually low relative to the world's most stable currencies. Both times a weak pundra made Darfir's manufactured products a bargain on world markets, and Darfir's exports were up substantially. Now some politicians are saying that, in order to cause another similarly sized increase in exports, the government should allow the pundra to become weak again.
the selection above points on certainty of facts 'a weak pundra' is the cause and 'exports' is the effect.
a) confirms the cause-effect relationship, no weakening point
b) we know that even with given cause-effect relationship, the cause is unable to bring effect at this time because of Darfir's manufacturing sector ... operating at near-peak levels - to export more they must be able to produce more
c) impairs the cause-effect relationship, describes unrelated aspects of economy (not exports)
d) the focus is shifted to other countries, we are interested in potential raise/decline of exports in Darfir
e) improvement in the efficiency of Darfir's manufacturing plants can stimulate Darfir's exports too, BUT this won't neglect/diminish/subject the present cause-effect relationship 'a weak pundra' to raise 'exports'. e) is just another cause introduced here, and we need either counter-cause to 'a weak pundra' or another good cause to break the present cause-effect relationship.

IOM b
Success doesn't come overnight!
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by rk10 » Sun May 15, 2011 10:12 pm
+1 for B
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by gmat11 » Mon May 16, 2011 2:45 am
IMO E
E provides an alternative cause for the desired effect of increasing the exports of Darfir Republic's manufacturing sector.
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by Carcass » Mon May 16, 2011 5:45 am
E is the only way to foster export whitout the aid of currency
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by HSPA » Mon May 16, 2011 6:58 am
champmag wrote:Twelve years ago and again five years ago, there were extended periods when the Darfir Republic's currency,the pundra, was weak: its value was unusually low relative to the world's most stable currencies. Both times a weak pundra made Darfir's manufactured products a bargain on world markets, and Darfir's exports were up substantially. Now some politicians are saying that, in order to cause another similarly sized increase in exports, the government should allow the pundra to become weak again.
.
Kindly find the keyword above for Causal question.
Decrease in currency is the cause for increase in exports,
Conclusion: Govt shall decrease currency further.
As per powerscore - approach techniques
1)Find an alternate reason. Example : https://www.beatthegmat.com/weakening-ar ... 82973.html

2)show that when the cause enhances the effect does not
Now take B:
Decrease the currency further but we are already at peak load we cannot take more load
--Cause enhances but effect does not
Now take E:
To lay more manuf plants without reducing currency is an alternate way to attain exports, alternate conclusions are not weakners.
First take: 640 (50M, 27V) - RC needs 300% improvement
Second take: coming soon..
Regards,
HSPA.
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