|
Author |
Message |
|
TAGS:
|
|
|
Manager
Joined: 19 Aug 2007
Posts: 172
Followers: 1
Kudos [?]:
4
[0], given: 0
|
If interest rates remain at their current high levels, many [#permalink]
 02 Nov 2007, 18:57
Question Stats:
0% (00:00) correct
 0% (00:00) wrong based on 2 sessions
If interest rates remain at their current high levels, many people who currently rent their residences will hesitate to purchase homes. As the price of real estate continues to climb, the costs of a mortgage will be too burdensome. Sellers will be forced to lower their asking prices. So, high interest rates will eventually cause the real estate market to stabilize.
In the argument above, the portions in boldface play which of the following roles?
A- The first is the author's main point; the second is a prediction that follows from that point.
B- The first is a consideration that the author believes will result in a certain situation; the second is that situation.
C- The first is a consideration that weighs against the author's main point; the second is the author's main point.
D- The first is a prediction; the second is evidence in support of that prediction.
E- The first is the author's main point; the second is evidence used to argue against that point.
|
|
|
|
|
|
|
Intern
Joined: 22 Oct 2007
Posts: 25
Followers: 0
Kudos [?]:
0
[0], given: 0
|
C
I feel that the second is the main point( if not the point)...
|
|
|
|
|
|
SVP
Joined: 28 Dec 2005
Posts: 1612
Followers: 1
Kudos [?]:
53
[0], given: 2
|
A ?
|
|
|
|
|
|
Manager
Joined: 25 Jul 2007
Posts: 68
Followers: 1
Kudos [?]:
2
[0], given: 0
|
will go with B ..though not thorough convinced...btw can u please tell the source..also do post the OA and explanation
|
|
|
|
|
|
Director
Joined: 09 Aug 2006
Posts: 776
Followers: 1
Kudos [?]:
18
[0], given: 0
|
Re: CR: Interest Rates [#permalink]
03 Nov 2007, 05:58
jimjohn wrote: If interest rates remain at their current high levels, many people who currently rent their residences will hesitate to purchase homes. As the price of real estate continues to climb, the costs of a mortgage will be too burdensome. Sellers will be forced to lower their asking prices. So, high interest rates will eventually cause the real estate market to stabilize.
In the argument above, the portions in boldface play which of the following roles?
A- The first is the author's main point; the second is a prediction that follows from that point.
B- The first is a consideration that the author believes will result in a certain situation; the second is that situation.
C- The first is a consideration that weighs against the author's main point; the second is the author's main point.
D- The first is a prediction; the second is evidence in support of that prediction.
E- The first is the author's main point; the second is evidence used to argue against that point.
The first is not the main point. Eliminate A & E. The second is not the evidence. Eliminate D.
I struggled b/w B & C but picked C. B seemed incorrect because the first boldface is not resulting in the second boldface. First boldface combined with the non-bold faced part is resulting in the second bold face.
|
|
|
|
|
|
Manager
Joined: 21 Jun 2007
Posts: 149
Schools: UCLA Anderson School of Mgmt (FEMBA Class of 2013)
WE 1: 7.5 years in Engg. Consulting
Followers: 3
Kudos [?]:
7
[0], given: 0
|
My answer is B.
Conclusion: High interest rates will eventually cause the real estate market to stabilize.
First bold face is a premise that is the cause for the conclusion. That is
"If interest rates remain at their current high levels, many people who currently rent their residences will hesitate to purchase homes".
So X will result in Y (X being high interest rates, Y being people not buying homes)
C is not correct since it does not go against the conclusion, but supports it.
|
|
|
|
|
|
Director
Joined: 11 Jun 2007
Posts: 938
Followers: 1
Kudos [?]:
18
[0], given: 0
|
i really hate those boldface CR questions.. will take a stab at and it pick C
|
|
|
|
|
|
Director
Joined: 09 Aug 2006
Posts: 531
Followers: 2
Kudos [?]:
20
[0], given: 0
|
Re: CR: Interest Rates [#permalink]
03 Nov 2007, 09:16
jimjohn wrote: If interest rates remain at their current high levels, many people who currently rent their residences will hesitate to purchase homes. As the price of real estate continues to climb, the costs of a mortgage will be too burdensome. Sellers will be forced to lower their asking prices. So, high interest rates will eventually cause the real estate market to stabilize.
In the argument above, the portions in boldface play which of the following roles?
A- The first is the author's main point; the second is a prediction that follows from that point.
B- The first is a consideration that the author believes will result in a certain situation; the second is that situation.
C- The first is a consideration that weighs against the author's main point; the second is the author's main point.
D- The first is a prediction; the second is evidence in support of that prediction.
E- The first is the author's main point; the second is evidence used to argue against that point.
beckee529, you are not alone.. I am with you in hating bold faced question.. Infact, I hate the GMAT as a whole !!!
Btw, I would go for B. and this is why ...
Question says ...
high interest rates >> less people will buy homes. High interest >> High prices >> mortgage rates burdensome >> sellers forced to lower prices >> high rates eventually stabilize the prices..
As can be seen above, high interest rates spawns a cycle of high prices which eventually lead market stabilization and that's what B says.. A situation that will lead to another situation..
I don't see why C fits in .. The author
s main point is that high interest rates will stabilize the prices .. I don't see the first bold part going against author's main point..
What is the OA ??
|
|
|
|
|
|
Director
Joined: 11 Jun 2007
Posts: 938
Followers: 1
Kudos [?]:
18
[0], given: 0
|
Re: CR: Interest Rates [#permalink]
03 Nov 2007, 09:27
Amit05 wrote: jimjohn wrote: If interest rates remain at their current high levels, many people who currently rent their residences will hesitate to purchase homes. As the price of real estate continues to climb, the costs of a mortgage will be too burdensome. Sellers will be forced to lower their asking prices. So, high interest rates will eventually cause the real estate market to stabilize.
In the argument above, the portions in boldface play which of the following roles?
A- The first is the author's main point; the second is a prediction that follows from that point.
B- The first is a consideration that the author believes will result in a certain situation; the second is that situation.
C- The first is a consideration that weighs against the author's main point; the second is the author's main point.
D- The first is a prediction; the second is evidence in support of that prediction.
E- The first is the author's main point; the second is evidence used to argue against that point. beckee529, you are not alone.. I am with you in hating bold faced question.. Infact, I hate the GMAT as a whole !!! Btw, I would go for B. and this is why ... Question says ... high interest rates >> less people will buy homes. High interest >> High prices >> mortgage rates burdensome >> sellers forced to lower prices >> high rates eventually stabilize the prices.. As can be seen above, high interest rates spawns a cycle of high prices which eventually lead market stabilization and that's what B says.. A situation that will lead to another situation.. I don't see why C fits in .. The author s main point is that high interest rates will stabilize the prices .. I don't see the first bold part going against author's main point.. What is the OA ?? hmm good point B is making more sense now, thanks.
|
|
|
|
|
|
Manager
Joined: 19 Aug 2007
Posts: 172
Followers: 1
Kudos [?]:
4
[0], given: 0
|
the OA is B
(A) The first portion is not the author's main point (another term for conclusion).
(B) CORRECT. The first portion is indeed a consideration that the author believes will result in a particular situation, namely the stabilization of the market. The second is indeed that situation.
(C) The first portion does not weigh against (contradict) the author's main point (conclusion).
(D) The first is indeed a prediction, but the second portion is not evidence -- it is the conclusion.
(E) The first portion is not the main point (conclusion).
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Moderators:
metallicafan, rajeevrks27, souvik101990, PTK, MacFauz, noboru, kissthegmat, carcass, willigetmylifeback, mikemcgarry, doe007, Vercules, Legendaddy, tuanquang269, RaviChandra, Marcab, Narenn
|
close
