Find all School-related info fast with the new School-Specific MBA Forum

 It is currently 04 May 2016, 14:34

### GMAT Club Daily Prep

#### Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# Critics of Federal Reserve argue that

Author Message
TAGS:

### Hide Tags

Current Student
Joined: 29 Oct 2008
Posts: 410
Location: United States
Concentration: Marketing, Technology
Followers: 7

Kudos [?]: 212 [0], given: 34

Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 06:34
2
This post was
BOOKMARKED
00:00

Difficulty:

45% (medium)

Question Stats:

63% (02:09) correct 38% (01:30) wrong based on 90 sessions

### HideShow timer Statictics

Critics of Federal Reserve argue that hyper inflation is imminent because an increase in money supply by the Federal Reserve will lead to a devaluation of US dollars, making imports more expensive. The reality cannot be more different. In reality, the increased capital flow would enable US companies to export high value products such as cars, increasing the demand for US dollar and improving the purchasing power of the average American.

In the above argument, the portion in bold face plays which of the following roles?
A. The first is the prediction that the argument on the whole supports; the second is a fact that will be true.
B. The first is the position that the argument opposes; the second is the evidence provided to refute that position
C. The first is an evidence used to oppose a position; the second is that position.
D. The first is the prediction that the argument on the whole opposes; the second is another prediction that the argument believes will come true.
E. The first is the position that the argument supports; the second is evidence cited to oppose that position.
[Reveal] Spoiler: OA

_________________

If you know what you're worth, then go out and get what you're worth. But you gotta be willing to take the hits, and not pointing fingers saying you ain't where you wanna be because of anybody! Cowards do that and You're better than that!
The path is long, but self-surrender makes it short; the way is difficult, but perfect trust makes it easy.

Fire the final bullet only when you are constantly hitting the Bull's eye, till then KEEP PRACTICING.
Failure establishes only this, that our determination to succeed was not strong enough.
Getting defeated is just a temporary notion, giving it up is what makes it permanent.

1000-sc-notes-at-one-place-in-one-document-with-best-of-explanations-192961.html

Press +1 Kudos, if you think my post gave u a tiny tip.

Last edited by Nevernevergiveup on 14 Apr 2016, 08:09, edited 2 times in total.
Moderator
Joined: 01 Sep 2010
Posts: 2870
Followers: 639

Kudos [?]: 5062 [0], given: 871

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 06:52
Expert's post
The first one is a position; the second one is what in reality refute completely the first one.

Infact in reality happens the contrary.

B it is
_________________
Current Student
Joined: 29 Oct 2008
Posts: 410
Location: United States
Concentration: Marketing, Technology
Followers: 7

Kudos [?]: 212 [0], given: 34

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 07:06
carcass wrote:
The first one is a position; the second one is what in reality refute completely the first one.

Infact in reality happens the contrary.

B it is
B says second provides evidence which is not so.
Also, can you please let us know what is the conclusion in this argument?

Conclusion is what making me to doubt actual answer of this question.
_________________

If you know what you're worth, then go out and get what you're worth. But you gotta be willing to take the hits, and not pointing fingers saying you ain't where you wanna be because of anybody! Cowards do that and You're better than that!
The path is long, but self-surrender makes it short; the way is difficult, but perfect trust makes it easy.

Fire the final bullet only when you are constantly hitting the Bull's eye, till then KEEP PRACTICING.
Failure establishes only this, that our determination to succeed was not strong enough.
Getting defeated is just a temporary notion, giving it up is what makes it permanent.

1000-sc-notes-at-one-place-in-one-document-with-best-of-explanations-192961.html

Press +1 Kudos, if you think my post gave u a tiny tip.

Director
Status: Final Countdown
Joined: 17 Mar 2010
Posts: 563
Location: India
GPA: 3.82
WE: Account Management (Retail Banking)
Followers: 16

Kudos [?]: 224 [0], given: 75

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 07:53
Conclusion:-
Increasing the demand of US dollars, improving the purchasing power of avg american.

IMO (A)
FIRST is critic's prediction.
Second is a fact/truth.

(D) is close tie, but incorrect because argument is not opposing the critic's view rather the second bold face sentence is saying that the second part is not much different from the first, but later the second part is stating facts.

OA?
_________________

" Make more efforts "
Press Kudos if you liked my post

Manager
Joined: 04 Feb 2012
Posts: 120
Location: India
GPA: 3.96
WE: Research (Pharmaceuticals and Biotech)
Followers: 2

Kudos [?]: 36 [0], given: 129

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 08:19
IMO it should be A..first is a "certain" prediction and second is FACT!!
Intern
Joined: 18 Apr 2012
Posts: 2
Followers: 0

Kudos [?]: 0 [0], given: 0

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 11:32
IMO (B)
The position is that there is hyperinflation occuring. The second part shows the different reality to dispute that position.

OA pls.
Moderator
Joined: 01 Sep 2010
Posts: 2870
Followers: 639

Kudos [?]: 5062 [0], given: 871

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

01 Aug 2012, 11:38
Expert's post
joshnsit wrote:
carcass wrote:
The first one is a position; the second one is what in reality refute completely the first one.

Infact in reality happens the contrary.

B it is
B says second provides evidence which is not so.
Also, can you please let us know what is the conclusion in this argument?

Conclusion is what making me to doubt actual answer of this question.

The conclusion is : In reality, and so on and so forth.........we have a statement where dollars HELP companies and provide 3 examples: cars, $and purchasing power _________________ Senior Manager Joined: 11 May 2011 Posts: 373 Location: US Followers: 3 Kudos [?]: 82 [0], given: 46 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 01 Aug 2012, 17:19 My Answer is A. critic's prediction is inline with the Second piece, which is a fact/truth. Whats OA? _________________ ----------------------------------------------------------------------------------------- What you do TODAY is important because you're exchanging a day of your life for it! ----------------------------------------------------------------------------------------- Manager Joined: 16 Oct 2011 Posts: 135 Location: United States Followers: 0 Kudos [?]: 14 [0], given: 5 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 03 Aug 2012, 12:43 joshnsit wrote: My question is more towards finding conclusion of this argument. I have the OA with me, but will reveal later. Let me know the answer along with the conclusion of this argument. Kindly reveal the source of the question. The second statement says - Reality cannot be more different, meaning - Should almost be in accordance with critics' argument. However, the statement at the end gives the author's view - as opposed to the critics' view. So, perhaps the second statement is probably understood as - The reality - Which is not what critics argue is is not more different. Ie. Is actually not what critics argue. So, B. Sorry if I tried to confuse a few... But, I doubt whether such a question is genuine enough. Thanks. Manager Joined: 10 May 2012 Posts: 58 GMAT Date: 09-10-2012 Followers: 1 Kudos [?]: 12 [0], given: 14 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 03 Aug 2012, 16:07 joshnsit wrote: My question is more towards finding conclusion of this argument. I have the OA with me, but will reveal later. Let me know the answer along with the conclusion of this argument. First of all Critic's claim and authors claim is opposite. Lets understand Critics argue that Hyperinflation is evident...........bcuz blah blah blah will lead to devaluation of dollar......."That is purchasing power will decrease" While author claims that blah blah blah will improve purchasing power. So its contradictory. A and E goes out. "Hyperinflation is evident" cannot be an evidence. C goes out Statement "Reality can not be more different" Here author is giving what happens in reality which is a fact. Hence B. OA please. Current Student Joined: 29 Oct 2008 Posts: 410 Location: United States Concentration: Marketing, Technology Followers: 7 Kudos [?]: 212 [0], given: 34 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 04 Aug 2012, 18:41 raghupara wrote: joshnsit wrote: My question is more towards finding conclusion of this argument. I have the OA with me, but will reveal later. Let me know the answer along with the conclusion of this argument. Kindly reveal the source of the question. The second statement says - Reality cannot be more different, meaning - Should almost be in accordance with critics' argument. However, the statement at the end gives the author's view - as opposed to the critics' view. So, perhaps the second statement is probably understood as - The reality - Which is not what critics argue is is not more different. Ie. Is actually not what critics argue. So, B. Sorry if I tried to confuse a few... But, I doubt whether such a question is genuine enough. Thanks. "Reality cant be more different" is like an idiom/phrase/proverb which actually means "In reality, things are completely different". So, it has to differ from Critic's point of view expressed earlier before the sentence "Reality cant be more different". The source is eGMAT. I am convinced with OA , but I am looking for conclusion which I feel is "Reality cant be more different" here, but not sure of. So, need some expert help here whether we have conclusion explicitly stated here or not. So, still keeping this post open here for my expected conclusion. BTW, evidence is based on facts whereas "Reality cant be more different" is author's opinion(in which he/she(author) differs from critic's opinion). Because when author says "In reality, the increased capital flow would enable US companies .....", the would suggests that he is expecting this to happen with a probability/possibility. _________________ If you know what you're worth, then go out and get what you're worth. But you gotta be willing to take the hits, and not pointing fingers saying you ain't where you wanna be because of anybody! Cowards do that and You're better than that! The path is long, but self-surrender makes it short; the way is difficult, but perfect trust makes it easy. Fire the final bullet only when you are constantly hitting the Bull's eye, till then KEEP PRACTICING. Failure establishes only this, that our determination to succeed was not strong enough. Getting defeated is just a temporary notion, giving it up is what makes it permanent. 1000-sc-notes-at-one-place-in-one-document-with-best-of-explanations-192961.html Press +1 Kudos, if you think my post gave u a tiny tip. Manager Joined: 16 Oct 2011 Posts: 135 Location: United States Followers: 0 Kudos [?]: 14 [0], given: 5 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 04 Aug 2012, 22:26 joshnsit wrote: raghupara wrote: joshnsit wrote: My question is more towards finding conclusion of this argument. I have the OA with me, but will reveal later. Let me know the answer along with the conclusion of this argument. Kindly reveal the source of the question. The second statement says - Reality cannot be more different, meaning - Should almost be in accordance with critics' argument. However, the statement at the end gives the author's view - as opposed to the critics' view. So, perhaps the second statement is probably understood as - The reality - Which is not what critics argue is is not more different. Ie. Is actually not what critics argue. So, B. Sorry if I tried to confuse a few... But, I doubt whether such a question is genuine enough. Thanks. "Reality cant be more different" is like an idiom/phrase/proverb which actually means "In reality, things are completely different". So, it has to differ from Critic's point of view expressed earlier before the sentence "Reality cant be more different". The source is eGMAT. I am convinced with OA , but I am looking for conclusion which I feel is "Reality cant be more different" here, but not sure of. So, need some expert help here whether we have conclusion explicitly stated here or not. So, still keeping this post open here for my expected conclusion. BTW, evidence is based on facts whereas "Reality cant be more different" is author's opinion(in which he/she(author) differs from critic's opinion). Because when author says "In reality, the increased capital flow would enable US companies .....", the would suggests that he is expecting this to happen with a probability/possibility. Oh Cool.. That's a great detail.. I didn't know that idiom.. Thanks many, ... Manager Joined: 02 Jun 2011 Posts: 159 Followers: 1 Kudos [?]: 62 [0], given: 11 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 05 Aug 2012, 09:42 it sounds like "reality cannot be more different 'from the truth' or 'than truth'. well, never knew this to be idiom! So the answer is "D"? with this being idiom ? Veritas Prep GMAT Instructor Joined: 16 Oct 2010 Posts: 6482 Location: Pune, India Followers: 1761 Kudos [?]: 10506 [1] , given: 206 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 05 Aug 2012, 22:06 1 This post received KUDOS Expert's post 1 This post was BOOKMARKED joshnsit wrote: My question is more towards finding conclusion of this argument. I have the OA with me, but will reveal later. Let me know the answer along with the conclusion of this argument. If you understand a little bit of economics, the question is very clear. Else, you could get a little muddled but if you ignore the technicalities and just focus on logic, you will still get your answer easily. Also, "The reality cannot be more different." means the reality is very different. It is so different that it cannot be any more different. (If you had trouble understanding this, it means you do not read enough.) "Hyper inflation is evident" is the critics' point of view. The rest of the sentence gives you reasons they cite for their point of view. The critics say that the$ will be devalued.
The author starts his point of view by saying that the reality is very different i.e. in reality, there is no hyper inflation. Then he goes on to substantiate his point of view. He says that Americans purchasing power will increase i.e. the $may appreciate. So the author's opinion is radically different from the critics'. So the first statement in bold is a position that the argument opposes. The second statement is the author's prediction, his point of view. It introduces the position that the argument endorses. Hence (D) is the correct answer. _________________ Karishma Veritas Prep | GMAT Instructor My Blog Get started with Veritas Prep GMAT On Demand for$199

Veritas Prep Reviews

Current Student
Joined: 29 Oct 2008
Posts: 410
Location: United States
Concentration: Marketing, Technology
Followers: 7

Kudos [?]: 212 [0], given: 34

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

06 Aug 2012, 10:38
VeritasPrepKarishma wrote:
joshnsit wrote:
My question is more towards finding conclusion of this argument.

I have the OA with me, but will reveal later. Let me know the answer along with the conclusion of this argument.

If you understand a little bit of economics, the question is very clear. Else, you could get a little muddled but if you ignore the technicalities and just focus on logic, you will still get your answer easily. Also, "The reality cannot be more different." means the reality is very different. It is so different that it cannot be any more different. (If you had trouble understanding this, it means you do not read enough.)

"Hyper inflation is evident" is the critics' point of view. The rest of the sentence gives you reasons they cite for their point of view. The critics say that the $will be devalued. The author starts his point of view by saying that the reality is very different i.e. in reality, there is no hyper inflation. Then he goes on to substantiate his point of view. He says that Americans purchasing power will increase i.e. the$ may appreciate.
So the author's opinion is radically different from the critics'.

So the first statement in bold is a position that the argument opposes.
The second statement is the author's prediction, his point of view. It introduces the position that the argument endorses.

Hence (D) is the correct answer.
Karishma, Can we say that the sentence "Reality cant be more different" would be the conclusion?
_________________

If you know what you're worth, then go out and get what you're worth. But you gotta be willing to take the hits, and not pointing fingers saying you ain't where you wanna be because of anybody! Cowards do that and You're better than that!
The path is long, but self-surrender makes it short; the way is difficult, but perfect trust makes it easy.

Fire the final bullet only when you are constantly hitting the Bull's eye, till then KEEP PRACTICING.
Failure establishes only this, that our determination to succeed was not strong enough.
Getting defeated is just a temporary notion, giving it up is what makes it permanent.

1000-sc-notes-at-one-place-in-one-document-with-best-of-explanations-192961.html

Press +1 Kudos, if you think my post gave u a tiny tip.

Veritas Prep GMAT Instructor
Joined: 16 Oct 2010
Posts: 6482
Location: Pune, India
Followers: 1761

Kudos [?]: 10506 [0], given: 206

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

06 Aug 2012, 21:52
Expert's post
joshnsit wrote:

Karishma, Can we say that the sentence "Reality cant be more different" would be the conclusion?

The sentence conveys:
"There is no hyper inflation and Americans purchasing power will increase"

This is what the author is trying to express through this argument and hence can be regarded as the conclusion of this argument.
_________________

Karishma
Veritas Prep | GMAT Instructor
My Blog

The author starts his point of view by saying that the reality is very different i.e. in reality, there is no hyper inflation. Then he goes on to substantiate his point of view. He says that Americans purchasing power will increase i.e. the $may appreciate. So the author's opinion is radically different from the critics'. So the first statement in bold is a position that the argument opposes. The second statement is the author's prediction, his point of view. It introduces the position that the argument endorses. Hence (D) is the correct answer. Hi Karishma, I was down to B & D and ended choosing B. I thought while saying reality is very different, author is choosing word "reality" to point out a fact. Because fact cant be prediction I chose B as it use term evidence which means fact. Where did I go wrong...and how should I avoid making such mistake again. Veritas Prep GMAT Instructor Joined: 16 Oct 2010 Posts: 6482 Location: Pune, India Followers: 1761 Kudos [?]: 10506 [0], given: 206 Re: Critics of Federal Reserve argue that [#permalink] ### Show Tags 07 Aug 2012, 02:57 Expert's post jaiswalamrita wrote: Hi Karishma, I was down to B & D and ended choosing B. I thought while saying reality is very different, author is choosing word "reality" to point out a fact. Because fact cant be prediction I chose B as it use term evidence which means fact. Where did I go wrong...and how should I avoid making such mistake again. It is the author's opinion of what the reality is and what it is going to be. It is not a fact. The author says, "In reality, the increased capital flow would enable ..." - this is what is going to happen. He explains you what 'reality' he is talking about. If I just look at the two sentences, I might agree with you. But you cannot look at just the two sentences and decide their role. You need to consider the sentences in context of the entire passage. _________________ Karishma Veritas Prep | GMAT Instructor My Blog Get started with Veritas Prep GMAT On Demand for$199

Veritas Prep Reviews

Manager
Joined: 10 May 2012
Posts: 58
GMAT Date: 09-10-2012
Followers: 1

Kudos [?]: 12 [0], given: 14

Re: Critics of Federal Reserve argue that [#permalink]

### Show Tags

07 Aug 2012, 03:17
VeritasPrepKarishma wrote:
jaiswalamrita wrote:

Hi Karishma,

I was down to B & D and ended choosing B. I thought while saying reality is very different, author is choosing word "reality" to point out a fact. Because fact cant be prediction I chose B as it use term evidence which means fact. Where did I go wrong...and how should I avoid making such mistake again.

It is the author's opinion of what the reality is and what it is going to be. It is not a fact. The author says, "In reality, the increased capital flow would enable ..." - this is what is going to happen. He explains you what 'reality' he is talking about. If I just look at the two sentences, I might agree with you. But you cannot look at just the two sentences and decide their role. You need to consider the sentences in context of the entire passage.

I guess I got you...
So if I look the statement "In reality, the increased capital flow would enable ..." , this is truly futuristic sentence.
So should I actively look for will, would etc as a future marker to call it a prediction and does prediction sentences are limited by these marker, I mean if I dont find will, would in such context I should not consider it prediction??
Re: Critics of Federal Reserve argue that   [#permalink] 07 Aug 2012, 03:17

Go to page    1   2    Next  [ 22 posts ]

Similar topics Replies Last post
Similar
Topics:
Although critics of various beauty contests argue that such contests 1 14 Mar 2016, 06:17
10 Many critics claim that federally mandated car safety 7 17 Sep 2012, 05:12
1 Executive: Many critics argue that my company, Acme Widget 12 06 Aug 2011, 20:54
15 Some critics argue that an opera s stage directions are 33 20 Apr 2010, 09:24
Some critics argue that an opera s stage directions are 6 26 Nov 2006, 16:34
Display posts from previous: Sort by