RC-strategy

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RC-strategy

by zoe » Tue Aug 30, 2016 7:28 pm
During the 1960s and 1970s, the primary economic development strategy of local governments in the United States was to attract manufacturing industries. Unfortunately, this strategy was usually implemented at another community's expense: many manufacturing facilities were lured away from their moorings elsewhere through tax incentives and slick promotional efforts. Through the transfer of jobs and related revenues that resulted from this practice, one town's triumph could become another town's tragedy.
In the 1980s the strategy shifted from this zero-sum game to one called "high-technology development," in which local governments competed to attract newly formed high-technology manufacturing �rms. Although this approach was preferable to victimizing other geographical areas by taking their jobs, it also had its shortcomings: high-tech manufacturing �rms employ only a specially trained fraction of the manufacturing workforce, and there simply are not enough high-tech �rms to satisfy all geographic areas.
Recently, local governments have increasingly come to recognize the advantages of yet a third strategy: the promotion of homegrown small businesses. Small indigenous businesses are created by a nearly ubiquitous resource, local entrepreneurs. With roots in their communities, these individuals are less likely to be enticed away by incentives offered by another community. Indigenous industry and talent are kept at home, creating an environment that both provides jobs and fosters further entrepreneurship

The author of the passage mentions which of the following as an advantage of high-technology development?
(A) It encourages the modernization of existing manufacturing facilities.
(B) It promotes healthy competition between rival industries.
(C) It encourages the growth of related industries.
(D) It takes full advantage of the existing workforce.
(E) It does not advantage one local workforce at the expense of another

I refer this question to "local governments competed to attract newly formed high-technology manufacturing �rm"

IMO,
encourage = attract,
newly = modernization
form = exist
manufacturing = facilities

That's why I pick up A.

Please correct my fault

thanks a lot

have a nice day
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by minnie666 » Fri Sep 02, 2016 12:22 am
Is D the correct one?
Well, you may not pay attention to the following sentence --Although it 's preferable to victimizing ..by taking their jobs. And from the first para. we can know that attracting industries =taking their jobs=at the expense of others... So the answerchoice D is saying that this strategy don't advantage one region in the way of taking other regions'jobs..

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by MBA Challengers » Mon Sep 12, 2016 4:10 am
Let's take only the 2nd paragraph into consideration as the answer is contained completely within one paragraph.
Gist of the paragraph: 1980's governments shifted to the high technology approach.
Benefit: Did not victimise other geographical areas by taking their jobs
Shortcomings: 1. Employs small fraction of manufacturing work force
2. Not enough high-tech firms to cover entire geography

Coming to the question - advantage of the approach. Let's look at each option:
Option A: The passage does not specify if the new high-tech firm improve on existing technology or if it is new technology altogether
Option B: Nothing mentioned of rival technologies at all
Option C: Growth of related industries? Nope, no mention at all
Option D: It takes full advantage of the existing workforce? Incorrect. In fact this is one of the biggest shortcomings as it employs only a small fraction of the manufacturing workforce
Option E: It does not advantage one local force at the expense of the other local force. Precisely. This option hits the nail on the head and can be seen in the statement where it says it is preferable to victimising other geographical areas by taking their jobs

So, the answer is E
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