To me, that is an egregious assumption. I believe when GMAT test-takers do the test, they should base answer directly on the given questions rather than rest upon the word "common sense" to make specious claims.
Back to the original sentence, I will discuss only A and B (because C D E all wrong with the plural verb which should be singular).
(A) in regard to the issue of the budget deficit, an unanticipated rise in interest rates has...
(B) on the deficit, an unanticipated rise in interest rates has....
- B has a great advantage NOT ONLY because of concision but also the invaluable preposition "on". Position (noun) + on sth = opinion on sth.
- However, by reducing the word "budget", it turns out to be ambiguous. Given the context "business community", it is also reasonable that it is a trade deficit. Thus, the answer is not clear 100%.
Analyzing A, we see:
- In/with regard to: is the PERFECTLY CORRECT idiom. Please check dictionary or your available grammar books. Those who just claim about how wordy the structure is please think about it as "regarding/ concerning" (at that time they will claim it is concise enough
)
- "the issue of the budget deficit" is FINE. "Issue" means "problem", and those who say "the issue of the budget deficit is redundant", please look back on AWA 109 Sample, Sample 40, there is exactly a term of "trade deficit problem", and please do not say that "trade deficit problem" is different from "the problem of trade deficit" because, in this context, the point should lie in something more significant rather that minute nuance.
- What is WRONG with A is the lack of the preposition "on". When you want to mention "
opinion on/ about sth", you have to include "on". However, the following term, which we continuously see in verbal tests, makes us forget "on":
take the position that.... = think that... , or simply the word "the position" itself.
- Without the word "on", "position" at that time means "place, location, rank, etc." No meaning will fit, or be clear enough for, the sentence.
That is my opinion.
AyanamiRei wrote:
IMO B is.
Considering the GMAT test-takers' background, it is common sense that "deficit" is equal to "U.S. government budget deficit"