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# Crops can be traded on the futures market before they are

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Senior Manager
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Crops can be traded on the futures market before they are [#permalink]

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Updated on: 16 Jun 2018, 00:39
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Question Stats:

79% (01:10) correct 21% (01:20) wrong based on 1543 sessions

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Official Guide for GMAT Verbal Review, 2nd Edition

Practice Question
Question No.: 50
Page: 136

Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Which of the following, if true, most weakens the argument above?

(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest.

(B) Futures prices for corn have been fluctuating more dramatically this season than last season.

(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region.

(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season.

(E) Most people who trade in corn futures rarely take physical possession of the corn they trade.

Originally posted by vksunder on 18 Jul 2008, 02:16.
Last edited by hazelnut on 16 Jun 2018, 00:39, edited 3 times in total.
Necessary Corrections for Official Guide Verbal Review 2nd Edition Project
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Re: Crops can be traded on the futures market before they are [#permalink]

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18 Jul 2008, 05:55
2
3
D

vksunder wrote:
Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices
of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists
are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture
is essential for the current crop’s survival, prices of corn futures will fall sharply today.
Which of the following, if true, most weakens the argument above?
(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest.
Actually seems to strengthen the stem even though we don't know which growth stage the corn is currently in. This means it is also out of scope.
(B) Futures prices for corn have been fluctuating more dramatically this season than last season.
This has nothing to do with supporting or refuting the conclusion in the stem that prices will fall.
(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region.
It doesn't matter if the rain goes beyond the corn-growing area because we need only that which affects the corn growth. Out of Scope.
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season.
This gives us a reason the prices will rise (disease kills crop, cuts supply, demand remains) even though the rain appears to be something that will make a good harvest and prices should fall.
(E) Most people who trade in corn futures rarely take physical possession of the corn they trade.
So?

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##### General Discussion
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Re: Crops can be traded on the futures market before they are [#permalink]

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23 Mar 2012, 16:03
I have chosen D as the answer choice:

The conclusion is: [highlight]Prices of corn futures will fall sharply today.[/highlight]

A. This answer choice describes when the best time for rain is. However, it does not describe whether the prices will rise or fall today. Therefore, this is an incorrect answer.

B. Although prices have been fluctuating, this answer choice does not help us understand what will happen to corn futures today.

C. We are only concerned with rain in the corn growing region.

D. This is the correct answer. This statement explains why the prices of corn futures may increase - a disease could counteract any benefit that the rain may give.

E. This is irrelevant.
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Re: Crops can be traded on the futures market before they are [#permalink]

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01 Jan 2013, 12:44
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abhijitlandge wrote:
Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Which of the following, if true, most weakens the argument above?

(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest. is irrilevant the pollination
(B) Futures prices for corn have been fluctuating more dramatically this season than last season. the comparison betwee this season and the last is not importnat for the argument at stake
(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region. the fact that the rain will expand farther is not relevant
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season. this is a reason out od scope that weaken the argument
(E)Most people who trade in corn futures rarely take physical possession of the corn they trade. future trade is irrilevant

hope is clear

rules-for-posting-in-verbal-gmat-forum-134642.html

Thanks.
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Re: Crops can be traded on the futures market before they are [#permalink]

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01 Jan 2013, 13:23
carcass wrote:
abhijitlandge wrote:
Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Which of the following, if true, most weakens the argument above?

(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest. is irrilevant the pollination
(B) Futures prices for corn have been fluctuating more dramatically this season than last season. the comparison betwee this season and the last is not importnat for the argument at stake
(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region. the fact that the rain will expand farther is not relevant
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season. this is a reason out od scope that weaken the argument
(E)Most people who trade in corn futures rarely take physical possession of the corn they trade. future trade is irrilevant

hope is clear

rules-for-posting-in-verbal-gmat-forum-134642.html

Thanks.

Oh! I am sorry. I was unaware about the rules. In fact i just read them for the first time.
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Re: Crops can be traded on the futures market before they are [#permalink]

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01 Jan 2013, 13:38
Do not worry, but is important to follow.

Regards,

carcass
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Re: Crops can be traded on the futures market before they are [#permalink]

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Updated on: 06 Oct 2013, 09:27
2
this is proposal passage
do x then Y happen
if rain is good, the crop is good and price falls.

prethink
-assumption is that there is no bad agent
- weakener, there is some bad agent
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Originally posted by victory47 on 27 Jan 2013, 03:01.
Last edited by Narenn on 06 Oct 2013, 09:27, edited 1 time in total.
All similar threads have been merged.
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Re: Crops can be traded on the futures market before they are [#permalink]

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30 Jun 2014, 20:10
1
Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Which of the following, if true, most weakens the argument above?

Poor harvest - high prices
Good harvest - low prices

Prediction - Much needed rain for corn.
conclusion - Prices of corn will fall sharply

Weakener should weaken the conclusion. We are looking for answer choice that will give enough reason for us to doubt whether the prices can still increase even when good rain is predicted.
Something that will destroy the crops even when the rain is plentiful.

(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest. - Incorrect. Kind of a strengthener.
(B) Futures prices for corn have been fluctuating more dramatically this season than last season. - Incorrect. Not concerned with prices comparison.
(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region. - Incorrect. This is a trap answer. This may lead us to believe that too much rain can destroy the harvest. But the passage does not say so.
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season. - Correct. If the harvest is destroyed by disease then the prices might go up. Weakens the conclusion.
(E) Most people who trade in corn futures rarely take physical possession of the corn they trade. - Incorrect. Irrelevant.
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Re: Crops can be traded on the futures market before they are [#permalink]

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30 Jul 2015, 17:27
1
Can someone maybe better explain this to me.

I don't think it's D because the question asked what would weaken the the argument (the argument is about rain in relation to corn growth). This answer choice merely introduces a new aspect (disease, which is not part of the argument) into the equation. If the question asked which of the following, if true, Would decrease corn production or increase corn futures? Than this would answer it. But, as it stands the choice does nothing to the argument.

I think choice A answers the question and is relevant to the argument. The argument is: you need rain for corn growth and you are expecting rain -> corn will grown -> prices of corn futures will decrease.
Choice A says corn that doesn't receive moisture during its critical pollination stage will not produce bountiful harvest.

Passage says adequate moisture is essential for current crops survival. Choice A says there is a critical stage (time) in a corn plants life and during this stage (time) if it doesn't receive moisture (rain) it won't grow. And since the rain now is "much needed" according to the passage, this indicates there wasn't much rain before, so essentially you already missed that bus, when rain was needed (at a certain stage aka time) it wasn't available.

shank001 wrote:
Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Which of the following, if true, most weakens the argument above?

Poor harvest - high prices
Good harvest - low prices

Prediction - Much needed rain for corn.
conclusion - Prices of corn will fall sharply

Weakener should weaken the conclusion. We are looking for answer choice that will give enough reason for us to doubt whether the prices can still increase even when good rain is predicted.
Something that will destroy the crops even when the rain is plentiful.

(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest. - Incorrect. Kind of a strengthener.
(B) Futures prices for corn have been fluctuating more dramatically this season than last season. - Incorrect. Not concerned with prices comparison.
(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region. - Incorrect. This is a trap answer. This may lead us to believe that too much rain can destroy the harvest. But the passage does not say so.
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season. - Correct. If the harvest is destroyed by disease then the prices might go up. Weakens the conclusion.
(E) Most people who trade in corn futures rarely take physical possession of the corn they trade. - Incorrect. Irrelevant.
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Re: Crops can be traded on the futures market before they are [#permalink]

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18 Dec 2016, 22:37
vksunder wrote:
Crops can be traded on the futures market before they are harvested. If a poor corn harvest is predicted, prices of corn futures rise; if a bountiful corn harvest is predicted, prices of corn futures fall. This morning meteorologists are predicting much-needed rain for the corn-growing region starting tomorrow. Therefore, since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Which of the following, if true, most weakens the argument above?

(A) Corn that does not receive adequate moisture during its critical pollination stage will not produce a bountiful harvest.
(B) Futures prices for corn have been fluctuating more dramatically this season than last season.
(C) The rain that meteorologists predicted for tomorrow is expected to extend well beyond the corn-growing region.
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season.
(E) Most people who trade in corn futures rarely take physical possession of the corn they trade.

Type- weaken
Boil it down - Met had predicted rain for corn season starting tomorrow and hence the price of corn futures will fall sharply today
Pre-thinking - some threat will hamper the corn harvest
(D) Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season. - The harvest is likely to be poor and price of corn futures will rise

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Re: Crops can be traded on the futures market before they are [#permalink]

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28 Jan 2017, 06:43
I have selected option a, my reason for selection is : If moisture at pollination stage is not attained then there will be no bountiful harvest, which means, prices will rise...

kindly explain, why my reasoning is wrong?
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Re: Crops can be traded on the futures market before they are [#permalink]

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29 Jan 2017, 05:25
VKat wrote:
I have selected option a, my reason for selection is : If moisture at pollination stage is not attained then there will be no bountiful harvest, which means, prices will rise...

kindly explain, why my reasoning is wrong?

Option A does NOT state that corn will not attain adequate moisture. It just implies that IF corn does not attain adequate moisture level, the production will be hampered. Thus option A is a neutral fact about corn production. It does not strengthen or weaken the argument because it does not say whether the adequate moisture level will actually be attained or not. Hence option A is wrong.
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Re: Crops can be traded on the futures market before they are [#permalink]

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15 Aug 2017, 23:26
D is the correct choice - This statement properly identifies information that weakens the argument.
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Re: Crops can be traded on the futures market before they are [#permalink]

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31 May 2018, 07:52
Pre-thinking: One reason that the does not give a bountiful corn harvest!

Option D is a straight forward choice!
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Re: Crops can be traded on the futures market before they are [#permalink]

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20 Jun 2018, 02:58
Premises:
meteorologists are predicting rain for the corn-growing region starting tomorrow.
If bountiful corn harvest is predicted, prices of corn futures fall.

Conclusion:
since adequate moisture is essential for the current crop’s survival, prices of corn futures will fall sharply today.

Pre-thinking - Something tells me price will not fall cause may be not a good crop. well many factors are needed to have a good crop.

The correct answer will weaken the conclusion.

D: Agriculture experts announced today that a disease that has devastated some of the corn crop will spread widely before the end of the growing season. ---- Thus, it is NOT true that a bountiful harvest is predicted, WEAKENING the conclusion that prices of corn futures will fall.

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Re: Crops can be traded on the futures market before they are   [#permalink] 20 Jun 2018, 02:58
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