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# Is it possible to decrease inflation without causing a recession and i

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Manager
Joined: 15 Aug 2016
Posts: 208
Location: India
Concentration: Technology, Operations
GMAT 1: 690 Q49 V35
GPA: 3.84
WE: Operations (Consulting)
Re: Is it possible to decrease inflation without causing a recession and i  [#permalink]

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02 Nov 2018, 08:28
Wow.!!
A tough passage.
Took 6:30 mins.
Got 2/3 right.
Got first one wrong. I generally avoid points written in brackets as they don't contribute much to the overall message of the passage but in this case "(by these countries’ standards)" was the key. Missed that totally.!!
Lesson learnt.!!
I think it is 700-750 passage.
Manager
Joined: 22 Jun 2017
Posts: 181
Location: Argentina
Schools: HBS, Stanford, Wharton
GMAT 1: 630 Q43 V34
Re: Is it possible to decrease inflation without causing a recession and i  [#permalink]

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17 Mar 2019, 12:40
Would you please explain why B is the correct answer instead of C in question 3(primary purpose)?
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Re: Is it possible to decrease inflation without causing a recession and i  [#permalink]

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28 Mar 2019, 02:18
patto wrote:
Would you please explain why B is the correct answer instead of C in question 3(primary purpose)?

Let's break down the passage to understand its primary purpose:

• First, the author poses a question: "Is it possible to decrease inflation without causing a recession and... [an] increase in unemployment?
• Then, the author gives the orthodox answer ("no,"), two theories behind this answer, and an example to support this assertion (US and Europe in the 1980's).
• The author presents a policy that seeks to disprove the "orthodox answer": "direct controls on wages and prices, without tight monetary and fiscal policies, can succeed in decreasing inflation"
• Finally, the author presents several negative consequences of enacting the policy above.

Now, take a look at (C):
Quote:
(C) support a controversial policy

You could argue that the "controversial policy" referenced here is using "direct controls on wages and prices" to decrease inflation without causing high unemployment (seen above in bullet point #3). The author does introduce this policy, but does not support it -- the last sentence of the passage lists the negative consequences of enacting such a policy in fairly strong terms, and the author does not defend the policy at all. Because of this, (C) cannot be the primary purpose of the passage.

Now look at (B):
Quote:
(B) examine a generally accepted position

Here, the "generally accepted position" is the "orthodox answer" to the author's question: no, it is not possible to decrease inflation without causing a recession and its concomitant increase in unemployment.

The author examines this position by explaining two theories behind it, presenting a policy that seeks to disprove it, and then listing the negative consequences of this policy. The overall purpose of the passage is to explore various aspects of the "orthodox answer" to the author's question, which is nicely captured in this answer choice. (B) is the correct answer to question #3.

I hope that helps!
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Re: Is it possible to decrease inflation without causing a recession and i   [#permalink] 28 Mar 2019, 02:18

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