While Governor Verdant has been in office, the state s : GMAT Critical Reasoning (CR)
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While Governor Verdant has been in office, the state s

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While Governor Verdant has been in office, the state s [#permalink]

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31 Mar 2009, 13:46
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While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year. Obviously, the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.

Which of the following, if true, would most seriously weaken the conclusion drawn above?

(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term.
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.

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[Reveal] Spoiler: OA
If you have any questions
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07 Apr 2009, 22:05
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I think the answer is A, reasoning below.

Budget is equivalent to spending, i.e. output.

Argument is a lack of spending has caused economic slowdown under Governor Verdant.

B) is incorrect as taxes are not the only source of state funding (bonds etc), and reduced taxes should spur business, not hinder it.
C) does not consider inflationary effects (but hints at answer)
D) concerns where money is raised, not how it is spent. Burden of paying for services moved from general levy (tax) to specific levy (fees) and hence does not concern spending. If services had been moved to private sector would be a valid argument, but they haven't.
E) concerns the cause of austere budgets, not their effect, not relevant.

Answer is A) real spending increase under Verdant is 6% - 3% = 3%, real spending increase under previous governer is 11.5% - 10% = 1.5%

Clearly Verdant spends more in real terms, and therefore is not more austere.
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24 Feb 2010, 07:12
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While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year. Obviously, the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.
Which of the following, if true, would most seriously weaken the conclusion drawn above?

(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term.
Seems to be right. Expenses have slow down since prices are linked to inflation.

(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.
Actually, out of scope, because it introduced Federal Tax which has nothing to do with State Budget
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.
In line with the premises
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.
Cant be since it is actually strengthening the argument, some of state expenses have been passed onto Citizens
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.
Out of Scope
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24 Feb 2010, 11:34
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While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year. Obviously, the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.

Which of the following, if true, would most seriously weaken the conclusion drawn above?

(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term.

It states the the reason the new govenor is spending at a lower rate is because inflation is lower therefore cost are rising at a slower rate. Thus spending hasn't increase because prices have not increased. This means he is spending the same but prices have not risen so his expenses hasn't risen. This is directly related to spending.

(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.

This ask you to link the outside idea that lower taxes means less spending and thus is outsie the scope of the arguement.

(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.

This is given in the paragraph. He had 6% increase on avarage. Does not weaken.

(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.

This supports the arguement.

(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.

This is close but no cigar. If this statement included "which were expected to not effect the growth of state spending till sometime in the future" it would have been a stonger candidate. However it does not directly erode at the assumption that the new govenor is responsible for the reduced spending.
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Re: While Governor Verdant has been in office, the state s [#permalink]

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05 Mar 2013, 14:59
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I considered A and E. Finally I picked E and got the question wrong. I did some researches and see there are many people on the same boat with me. Because we think former governor's policies (austerity budgets) will affect the growth rate in the current governor term. However the reference is too far. Answer A shows a more direct reason. Very good question, thanks so much.
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31 Mar 2009, 15:33
Conclusion: The austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.

Premise: While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year

If you look at the argument, it stands out as a very weak argument. Just because the budget has increased by a lesser percentage, it cannot be concluded that the reduction has caused slowdown. So weakening an already weak argument is fairly easy.

(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term.
OOS - Inflation is not talked about in the argument
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.
OOS -There is no mention of income tax in the argument
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.
Does not affect the conclusion
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.
Perfect - This shows that the reduction in budget is because of the increased spending on citizen services which were offered free of cost in the previous budget.
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.
Does not affect the conclusion.

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01 Apr 2009, 04:38
B ? OA?

D >> If they started charging for services which were earlier free then budget should increase and not decrease.
B >> some other factors like lowering of tax rates were responsible for lower budget this year.

pbanavara wrote:
Conclusion: The austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.

Premise: While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year

If you look at the argument, it stands out as a very weak argument. Just because the budget has increased by a lesser percentage, it cannot be concluded that the reduction has caused slowdown. So weakening an already weak argument is fairly easy.

(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term.
OOS - Inflation is not talked about in the argument
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.
OOS -There is no mention of income tax in the argument
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.
Does not affect the conclusion
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.
Perfect - This shows that the reduction in budget is because of the increased spending on citizen services which were offered free of cost in the previous budget.
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.
Does not affect the conclusion.

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01 Apr 2009, 13:13
OA is A. but don't have OE.
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12 Apr 2009, 18:12

Karlsyf said it.
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13 Apr 2009, 21:54
(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term. – out of the lot this gives the reason to weaken the argument.
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office. – out of scope
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.- states the same info given in the para.
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term. – private citizens is out of scope
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending. – in that case the spending should have been reduced and not increased, Contrary to info given.
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15 Apr 2009, 21:34
A and B are OOS
C doesnt argue against the fact that the austere budget reduced spending
D strengthens the argument by saying the austere budget reduced government spending

E works because it wekens the idea of austere budgets being the cause of reduced spending
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17 Apr 2009, 11:53
i think, in this ques A is better option than B, but B is also a very good option.
if A were not in the question, B would have been the best choice according to me.
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17 Apr 2009, 21:59
A.
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24 Feb 2010, 10:48
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24 Feb 2010, 11:13
kumarp256 wrote:

While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year. Obviously, the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.

Which of the following, if true, would most seriously weaken the conclusion drawn above?

(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term. So the actual budget increase during the term of Verdant is 3% while the actual budget increase during the term of the previous governor is only 1.5 percent. So, governor Verdant’s term have caused the increase in state spending. A is the perfect answer
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.

[Reveal] Spoiler: OA
A

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24 Feb 2010, 22:51
wow, i got this one right. I was just looking for a clear reason explaining reduced budget.
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01 Mar 2011, 09:02
Definitely A.

The conclusion states that austere budgets caused the slowdown in growth of state budget but if the real growth of state budget in recent yr has been 6-3=3 % as opposed to 11.5-10=1.5%, there has not been any slowdown in growth !

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01 Mar 2011, 09:24
the argument is that the small budget has slowed down spending.

weakening the argument is based on showing that the % numbers dont mean very much with regard to the spending.

if you know that 10% inflation was under the previous gov then real spending was only 1.5%, if the current gov has 6% spending but only 3% inflation, then there is 3% real spending....you are weaking the argument by showing that there actually isnt any slowing down. Real spending actually doubled.
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01 Mar 2011, 09:46
Does not looks like a official question. C is a trap. E does nothing to prevent the conclusion. The other two are irrelevant. cant help but pick A
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01 Mar 2011, 11:19
A...good one
Re: austere budgets   [#permalink] 01 Mar 2011, 11:19

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