Check GMAT Club Decision Tracker for the Latest School Decision Releases https://gmatclub.com/AppTrack

It is currently 23 May 2017, 20:50

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

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

In the aftermath of a worldwide stock-market crash, Country

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

Senior Manager
Senior Manager
User avatar
Joined: 19 Feb 2004
Posts: 413
Location: Lungi
Followers: 1

Kudos [?]: 30 [0], given: 0

In the aftermath of a worldwide stock-market crash, Country [#permalink]

Show Tags

New post 01 Apr 2004, 07:23
1
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

(N/A)

Question Stats:

89% (01:51) correct 11% (01:18) wrong based on 116 sessions

HideShow timer Statistics

In the aftermath of a worldwide stock-market crash, Country T
claimed that the severity of the stock-market crash it experienced
resulted from the accelerated process of denationalization many of
its industries underwent shortly before the crash.
Which of the following, if it could be carried out, would be most
useful in an evaluation of Country T's assessment of the causes of
the severity of its stock-market crash?
(A) Calculating the average loss experienced by individual traders in
Country T during the crash
(B) Using economic theory to predict the most likely date of the next
crash in Country T
(C) Comparing the total number of shares sold during the worst days
of the crash in Country T to the total number of shares sold in
Country T just prior to the crash.
(D) Comparing the severity of the crash in Country T to the severity
of the crash in countries otherwise economically similar to Country T
that have not experienced recent denationalization
(E) Comparing the long-term effects of the crash on the purchasing
power of the currency of Country T to the immediate, more severe
short-term effects of the crash on the purchasing power of the
currency of Country T.
Request Expert Reply
If you have any questions
you can ask an expert
New!
Manager
Manager
avatar
Joined: 27 Feb 2004
Posts: 185
Location: illinois
Followers: 1

Kudos [?]: 29 [0], given: 0

 [#permalink]

Show Tags

New post 01 Apr 2004, 15:28
D is the most relevant answer and best one.
SVP
SVP
User avatar
Joined: 30 Oct 2003
Posts: 1790
Location: NewJersey USA
Followers: 6

Kudos [?]: 101 [0], given: 0

 [#permalink]

Show Tags

New post 02 Apr 2004, 14:38
Wow D seems to be the most popular answer. Add my vote towards D.
Current Student
avatar
Joined: 23 Feb 2013
Posts: 7
Concentration: Strategy, Entrepreneurship
Followers: 0

Kudos [?]: 6 [0], given: 3

Re: In the aftermath of a worldwide stock-market crash, Country [#permalink]

Show Tags

New post 17 Dec 2013, 07:38
Hi

I marked B here for the reason that if the country can identify the date of its next crash, it has identified the reasons for the crash successfully.
Whereas D only tells us to compare the severity of the countries.

Kindly explain.
GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 01 Oct 2013
Posts: 10370
Followers: 996

Kudos [?]: 224 [0], given: 0

Premium Member
Re: In the aftermath of a worldwide stock-market crash, Country [#permalink]

Show Tags

New post 25 Aug 2016, 05:55
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.
Manager
Manager
User avatar
B
Joined: 19 Mar 2014
Posts: 90
Location: United States
Concentration: Finance, Entrepreneurship
Followers: 0

Kudos [?]: 11 [0], given: 17

GMAT ToolKit User CAT Tests
Re: In the aftermath of a worldwide stock-market crash, Country [#permalink]

Show Tags

New post 02 Apr 2017, 13:14
Let's read the question stem first, Question is asking about - would be most useful in an evaluation of Country T's assessment of the causes of the severity of its stock-market crash? - Which means this is an EVALUATE AN ARGUMENT question

Premise:

1. Worldwide Stock market crash
2. In aftermath of worldwide stock-market crash - Country T claimed - Severity of the crash was because of - accelerated process of DENATIONALIZATION many of its industries underwent shortly before the crash.

Conclusion:

DENATIONALIZATION - was the cause of the market crash in country T

As this is a evaluate question, we need to evaluate if Denationalization was the reason for the market crash as claimed by the country T. One of the correct answer choices should give us this option.

(A) Calculating the average loss experienced by individual traders in Country T during the crash 
- How would calculating loss by an individual trader answer or evaluate denationalization? Moreover name trader is just used to trap people having some financial background knowledge as they see similar terms and apply their studies or perceived knowledge over here, but remember in CR we need to look only for things which are discussed in this argument and deviate from bringing in our knowledge background to answer the questions. Option A is IRRELEVANT

(B) Using economic theory to predict the most likely date of the next crash in Country T 
- Again, how would predicting help us to answer the question - Is denationalization the reason for market crash? - Option B is IRRELEVANT

(C) Comparing the total number of shares sold during the worst days of the crash in Country T to the total number of shares sold in Country T just prior to the crash. 
- Total number of shares sold is not going to answer our question - Has denationalization caused the market crash?

(D) Comparing the severity of the crash in Country T to the severity of the crash in countries otherwise economically similar to Country T that have not experienced recent denationalization
- Now, comparing the impact of denationalization between two countries can give us a fair idea of whether denationalization can be the reason for stock-market crash as claimed by the country T - This looks a possible answer, lets check the last remaining answer choice - Option D is the CORRECT answer

(E) Comparing the long-term effects of the crash on the purchasing power of the currency of Country T to the immediate, more severe short-term effects of the crash on the purchasing power of the currency of Country T.
- This option is talking more about the possible steps to be taken post market crash but nowhere talk about the denationalization of companies - Hence, this option is OUT OF SCOPE


Hence, D is the correct answer
_________________

Kudos - Is the way to show your appreciation for the answer, so why shy away from giving one

"Think About Why You Started"

"The Future Belongs To The Competent. Get Good, Get Better, Be THE BEST"

Re: In the aftermath of a worldwide stock-market crash, Country   [#permalink] 02 Apr 2017, 13:14
    Similar topics Author Replies Last post
Similar
Topics:
1 After the stock market of Country X crashed, the president took to the iMyself 0 25 Mar 2017, 00:55
9 In the past two years, the effects of the worldwide economic guygmat 21 12 Aug 2015, 13:25
22 Experts publish their posts in the topic Amphibian populations are declining in numbers worldwide. metallicafan 19 14 Nov 2016, 16:56
Amphibian populations are declining in numbers worldwide. rampuria 4 24 Dec 2016, 07:42
24 Experts publish their posts in the topic Escalating worldwide demand for corn has led to a sharp marcodonzelli 16 02 May 2017, 17:19
Display posts from previous: Sort by

In the aftermath of a worldwide stock-market crash, Country

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.