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# Last year the rate of inflation was 1.2 percent, but for the

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Last year the rate of inflation was 1.2 percent, but for the [#permalink]

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13 Sep 2005, 08:11
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Last year the rate of inflation was 1.2 percent, but for the current year it has been 4 percent. We can conclude that inflation is on an upward trend and the rate will be still higher next year.

Which of the following, if true, most seriously weakens the conclusion above?
(A) The inflation figures were computed on the basis of a representative sample of
economic data rather than all of the available data.
(B) Last year a dip in oil prices brought inflation temporarily below its recent stable annual
level of 4 percent.
(C) Increases in the pay of some workers are tied to the level of inflation, and at an inflation
rate of 4 percent or above, these pay raises constitute a force causing further inflation.
(D) The 1.2 percent rate of inflation last year represented a ten-year low.
(E) Government intervention cannot affect the rate of inflation to any significant degree.

Hello everyone, This question is from the OG 10th edition. I got this one wrong, and I didn't find the explanation very convincing. Please give me your explanations for your answer. The question isn't tough, but I didn't understand the meaning of one of the answer choices. More on that later.

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Re: CR: Rate of Inflation [#permalink]

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13 Sep 2005, 08:47
I first thought that A was the answer but now I think it's B.

A is tempting but they do say that the sample is representative. Meaning that whatever period they used to get info from was consistent with the yearly rate.

C strengthens the argument.

E is out of scope because no where in the argument is government intervention mentioned.

D is just another piece of info that has no bearing on the conclusion. Who cares if it was a ten year low??

I would pick B because it points to a reason why inflation was lower last year and also says that inflation has remained at an average of 4 percent each year.

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Re: CR: Rate of Inflation [#permalink]

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13 Sep 2005, 09:25
I agree with popew626. B for me with same explanations.

popew626 wrote:
I first thought that A was the answer but now I think it's B.

A is tempting but they do say that the sample is representative. Meaning that whatever period they used to get info from was consistent with the yearly rate.

C strengthens the argument.

E is out of scope because no where in the argument is government intervention mentioned.

D is just another piece of info that has no bearing on the conclusion. Who cares if it was a ten year low??

I would pick B because it points to a reason why inflation was lower last year and also says that inflation has remained at an average of 4 percent each year.

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13 Sep 2005, 09:41
B for me too

It says oil prices last year were the reason inflation was so low, but recently, it has been stable at 4% ... at least that's how I understand it

OA?

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13 Sep 2005, 09:47
I would pick B for this.

the conclusion is that inflation rates are on a upward trend as it says in the passage,
what b says is that inflation rates are in fact constant but last year it dipped occactionally for a specific reason. So, B weakens the conclusion.

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13 Sep 2005, 10:35
i am stuck between b or d...I will play devil's advocate and choose D.

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13 Sep 2005, 10:47
shud be B.

I guess D can be eliminated 'coz a ten year low rate doesn't say anything about the future trends. It is open for speculation.
However, B clearly states that the previous year's low number by because of a strange situation and that the inflation rate is more of less the same.

OA/OE Plz.

Krishna

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13 Sep 2005, 11:14
Should be B.
_________________

hey ya......

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13 Sep 2005, 13:40
The OA is B indeed. Thank you - popew626, kimmyg, macca and crisnas for your explanations. I didn't understand what B was trying to say. I thought B was trying to say that, last year the inflation was low, because of the drop in oil prices. I had assumed that this year, the oil prices are back to its usual price, and therefore the inflation will increase. But, as I can see from your explanations, the keywords are "temporarily below its recent stable annual "

I thank everyone for participating.

Darth

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13 Sep 2005, 13:40
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# Last year the rate of inflation was 1.2 percent, but for the

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