Last visit was: 24 Apr 2024, 13:26 It is currently 24 Apr 2024, 13:26

Close
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
Your Progress

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
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Close
Request Expert Reply
Confirm Cancel
SORT BY:
Date
Tags:
Show Tags
Hide Tags
Math Expert
Joined: 02 Sep 2009
Posts: 92902
Own Kudos [?]: 618803 [16]
Given Kudos: 81588
Send PM
GMAT Club Reviews PM Intern
Joined: 10 Apr 2018
Posts: 532
Own Kudos [?]: 754 [2]
Given Kudos: 522
Location: India
Schools: ISB'22 (D)
GMAT 1: 680 Q48 V34
GPA: 3.3
Send PM
Board of Directors
Joined: 11 Jun 2011
Status:QA & VA Forum Moderator
Posts: 6072
Own Kudos [?]: 4689 [1]
Given Kudos: 463
Location: India
GPA: 3.5
WE:Business Development (Commercial Banking)
Send PM
Director
Director
Joined: 09 Aug 2017
Posts: 689
Own Kudos [?]: 415 [3]
Given Kudos: 778
Send PM
Re: Economies in which a high percentage of resources are invested in rese [#permalink]
3
Kudos
Could I expect GMAT to make such vague statement as one of the choice.


(E) Because a decreasing percentage of the United States is under 40, an age when savings are traditionally low, the savings rate will increase without changes to the tax code.

Decreasing % of US is weird.
Director
Director
Joined: 16 Jun 2021
Posts: 994
Own Kudos [?]: 183 [0]
Given Kudos: 309
Send PM
Economies in which a high percentage of resources are invested in rese [#permalink]
Bunuel wrote:
Economies in which a high percentage of resources are invested in research and development show greater growth in the long run than do those in which resources are channeled into consumption. Japanese workers spend a higher percentage of their income investing in research and development than do American workers.
To grow as fast as Japan has in the past three decades, the United States must change the tax code in order to encourage savings and investment and discourage debt.

Which of the following, if true, tends to weaken the argument?


(A) Japanese research is more focused on consumers than is research by American firms.
This however doesn't discredit the fact that Japanese are investing in research therefore out

(B) Class mobility, highly valued in American culture, is encouraged by a growing rather than a stagnant economy.
This adds stength to the fact Americans value consumption over research therefore out

(C) Studies have shown that countries with high consumption rates prosper in the short run.
This also lends strength to the fact that prosperity is guaranteed only for a worth while for longer instances we have to look for alternatives
therefore out

(D) Proposed changes to the tax code could involve strict limits on the deductability of interest, and increased allowance for research.
This doesn't guarantee the long term benefits therefore out

(E) Because a decreasing percentage of the United States is under 40, an age when savings are traditionally low, the savings rate will increase without changes to the tax code.
This adds strength to the fact that the dynamics of the savings will change which will in turn make the Americans to opt out of a tax regim therefore our answer

Therefore IMO E
User avatar
Non-Human User
Joined: 01 Oct 2013
Posts: 17213
Own Kudos [?]: 848 [0]
Given Kudos: 0
Send PM
Re: Economies in which a high percentage of resources are invested in rese [#permalink]
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
GMAT Club Bot
Re: Economies in which a high percentage of resources are invested in rese [#permalink]
Moderators:
GMAT Club Verbal Expert
6920 posts
GMAT Club Verbal Expert
238 posts
CR Forum Moderator
832 posts

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne