Contrary to the statements of labor leaders, the central : GMAT Critical Reasoning (CR)
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# Contrary to the statements of labor leaders, the central

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Manager
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12 Jun 2005, 20:44
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Contrary to the statements of labor leaders, the central economic problem facing America today is not the distribution of wealth. It is productivity. With the productivity of U.S. industry stagnant, or even declining slightly, the economic pie is no longer growing. Labor leaders, of course, point to what they consider an unfair distribution of the slices of pie to justify their demands for further increases in wages and benefits. And in the past, when the pie was still growing, management could afford to acquiesce. No longer. Until productivity resumes its growth, there can be no justification for further increases in the compensation of workers.
Which of the following statements by a labor leader focuses on the logical weakness in the argument above?
(A) Although the economic pie is no longer growing, the portion of the pie allocated to American workers remains unjustly small.
(B) If management fails to accommodate the demands of workers, labor leaders will be forced to call strikes that will cripple the operation of industry.
(C) Although productivity is stagnant, the U.S. population is growing, so that the absolute size of the economic pie continues to grow as well.
(D) As a labor leader, I can be concerned only with the needs of working people, not with the problems faced by management.
(E) The stagnation of U.S. industry has been caused largely by factorsâ€”such as foreign competitionâ€”beyond the control of American workers.

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Director
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12 Jun 2005, 20:48
between A & C, I will choose A
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12 Jun 2005, 20:52
would pick A as the leaders could argue that even though there is not any extra money coming in, the money given to workers has always been too little.
B doesn't weaken the argument, its more about what the labour leaders could do.
C...this was a tempting choice...but just because population is growing does not mean the economy grows as well.
D does not weaken the argument
E is irrelevant
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12 Jun 2005, 20:58
For me the answer is (A)
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12 Jun 2005, 21:04
A here
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13 Jun 2005, 03:45
why not E
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13 Jun 2005, 03:47
why not E
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13 Jun 2005, 11:45
well done chaps. answer is A. i was between A and C. Can someone eleborate on why C is wrong? the question stem clearly says mgts reasoning is that pie is not growing. direct refute to that is C. pie is ineed growing.

any thoughts?
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13 Jun 2005, 12:05
Dang, I'd have chosen C

I'm still not clear as to why it is A
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14 Jun 2005, 05:24
I'll pick A.
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14 Jun 2005, 06:27
I pick C
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Re: CR - Stagnating Pie [#permalink]

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14 Jun 2005, 07:21
(A) Although the economic pie is no longer growing, the portion of the pie allocated to American workers remains unjustly small.

Labor leaders believe that the the distribution is problem and workers are getting small portion, no matter what the productivity does. This doesn't address the argument.

(B) If management fails to accommodate the demands of workers, labor leaders will be forced to call strikes that will cripple the operation of industry.

Off scope

(C) Although productivity is stagnant, the U.S. population is growing, so that the absolute size of the economic pie continues to grow as well.

Correct answer. That the productivity is stagnant and the US population is growing, the unjust differences in the pie are increasing exponentially. In order to make up for this, workers should get more money.

(D) As a labor leader, I can be concerned only with the needs of working people, not with the problems faced by management.

Off scope

(E) The stagnation of U.S. industry has been caused largely by factorsâ€”such as foreign competitionâ€”beyond the control of American workers.

Off scope, doesn't address the argument at all.

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14 Jun 2005, 07:57
I pick C too.

there is no weakness in A, just coffee table chat.

In C we argue why this pie growth actually exists !
14 Jun 2005, 07:57
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