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happypuppy
GMAT 1: 720 Q50 V38 (Online)
Posts: 203
21 Nov 2021, 22:48
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A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
35%
(medium)
Question Stats:
72% (02:02) correct
28%
(02:11)
wrong
based on 222
sessions
History
Date
Time
Result
Not Attempted Yet
Importing alcohol is an activity that negatively impacts the currency, so every country tries to be self-sufficient in meeting the domestic demand for alcohol. However, the demand for alcohol consumption has continued to increase in country A, and soon it will have to import alcohol. Imposing heavy taxes on the purchase of alcohol within the country will induce people to consume less alcohol; so, such taxes will help prevent negative impact on currency due to import of alcohol.
Which of the following strengthens the author’s proposal?
(A) Heavy taxes on domestic alcohol will not instigate people to purchase alcohol from e-commerce sites that make it easy to routinely import manufactured products such as alcohol from foreign countries at cheap prices.
(B) Currencies of neighbouring countries that have taken measures to develop sufficient domestic alcohol production are valued higher than country A’s currency.
(C) Majority of the increase in demand for alcohol is due to the mushrooming of pharmaceutical companies that need to add alcohol to the drugs they manufacture.
(D) Analysts have advised the country to import alcohol from tax-free countries as doing so would minimize the negative impact on the currency.
(E) Alcohol consumption is usually driven by instincts and seldom involves rational thinking including the consideration of finances or implications thereof.
Which of the following strengthens the author’s proposal?
(A) Heavy taxes on domestic alcohol will not instigate people to purchase alcohol from e-commerce sites that make it easy to routinely import manufactured products such as alcohol from foreign countries at cheap prices.
(B) Currencies of neighbouring countries that have taken measures to develop sufficient domestic alcohol production are valued higher than country A’s currency.
(C) Majority of the increase in demand for alcohol is due to the mushrooming of pharmaceutical companies that need to add alcohol to the drugs they manufacture.
(D) Analysts have advised the country to import alcohol from tax-free countries as doing so would minimize the negative impact on the currency.
(E) Alcohol consumption is usually driven by instincts and seldom involves rational thinking including the consideration of finances or implications thereof.
03 Jan 2022, 23:44
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This is a plan goal question and we have to strengthen the plan mentioned in the argument.
Pre-thinking
Plan - Impose heavy taxes on the purchase of alcohol.
Goal - To curb the consumption of alcohol.
The author therefore believes that when heavy taxes are imposed, the people in country A will reduce the consumption. The imposition of taxes will not instigate people to purchase alcohol either illegally or through alternative means.
The author also assumes that the reduction brought about by the imposition of heavy taxes will be sufficient to prevent import of alcohol.
We have to strengthen the plan made by the author.
Answer choice elimination
(A) Heavy taxes on domestic alcohol will not instigate people to purchase alcohol from e-commerce sites that make it easy to routinely import manufactured products such as alcohol from foreign countries at cheap prices.
The option is inline with our pre-thinking and states that the people will not purchase alcohol from any alternate means. The purchase would continue to be from the existing sources; therefore, imposing heavy taxes can reduce the consumption of alcohol. Will keep this option for now.
(B) Currencies of neighbouring countries that have taken measures to develop sufficient domestic alcohol production are valued higher than country A’s currency.
Even if the currencies of the neighboring countries are valued higher than country A's currency, we cannot compare the price of alcohol (post heavy taxes) in Country A with that of neighboring countries. May be it would be cheaper to import alcohol from the neighboring than to purchase the alcohol domestically.
(C) Majority of the increase in demand for alcohol is due to the mushrooming of pharmaceutical companies that need to add alcohol to the drugs they manufacture.
This weakens the plan, as the plan is centered around domestic consumption of alcohol by people. Hence, this is not in scope of the argument.
(D) Analysts have advised the country to import alcohol from tax-free countries as doing so would minimize the negative impact on the currency.
This is an alternate plan. The ask is to strengthen the plan and establish that fact imposing heavy taxes will reduce the consumption of alcohol.
(E) Alcohol consumption is usually driven by instincts and seldom involves rational thinking including the consideration of finances or implications thereof.
Out of scope. The option does not provide any rationale on the plan and goal. Hence this is incorrect.
IMO - A
Pre-thinking
Plan - Impose heavy taxes on the purchase of alcohol.
Goal - To curb the consumption of alcohol.
The author therefore believes that when heavy taxes are imposed, the people in country A will reduce the consumption. The imposition of taxes will not instigate people to purchase alcohol either illegally or through alternative means.
The author also assumes that the reduction brought about by the imposition of heavy taxes will be sufficient to prevent import of alcohol.
We have to strengthen the plan made by the author.
Answer choice elimination
(A) Heavy taxes on domestic alcohol will not instigate people to purchase alcohol from e-commerce sites that make it easy to routinely import manufactured products such as alcohol from foreign countries at cheap prices.
The option is inline with our pre-thinking and states that the people will not purchase alcohol from any alternate means. The purchase would continue to be from the existing sources; therefore, imposing heavy taxes can reduce the consumption of alcohol. Will keep this option for now.
(B) Currencies of neighbouring countries that have taken measures to develop sufficient domestic alcohol production are valued higher than country A’s currency.
Even if the currencies of the neighboring countries are valued higher than country A's currency, we cannot compare the price of alcohol (post heavy taxes) in Country A with that of neighboring countries. May be it would be cheaper to import alcohol from the neighboring than to purchase the alcohol domestically.
(C) Majority of the increase in demand for alcohol is due to the mushrooming of pharmaceutical companies that need to add alcohol to the drugs they manufacture.
This weakens the plan, as the plan is centered around domestic consumption of alcohol by people. Hence, this is not in scope of the argument.
(D) Analysts have advised the country to import alcohol from tax-free countries as doing so would minimize the negative impact on the currency.
This is an alternate plan. The ask is to strengthen the plan and establish that fact imposing heavy taxes will reduce the consumption of alcohol.
(E) Alcohol consumption is usually driven by instincts and seldom involves rational thinking including the consideration of finances or implications thereof.
Out of scope. The option does not provide any rationale on the plan and goal. Hence this is incorrect.
IMO - A
19 Dec 2025, 04:16
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