It is currently 22 Nov 2017, 17:31

### 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

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

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# Neither a rising standard of living nor balanced trade, by

Author Message
TAGS:

### Hide Tags

Manager
Joined: 05 Dec 2016
Posts: 232

Kudos [?]: 25 [1], given: 48

Concentration: Strategy, Finance
GMAT 1: 620 Q46 V29

### Show Tags

18 Apr 2017, 05:36
1
KUDOS
1
This post was
BOOKMARKED
So, to be able to compete on international market any country should maintain at decent level its trade balance and living standarts.
We need to find proper pair "="(trade balance)/UP (standarts of living):

A) "="(trade balance)/"UP" (standarts of living) Correct one!
B) "="(trade balance)/"DOWN" (standarts of living) doesn't match, hence incorrect.
C) "DOWN"(trade balance)/"UP" (standarts of living) doesn't match, hence incorrect.
D) "="(trade balance)/"DOWN" (standarts of living) doesn't match, hence incorrect.
E) "UP"(trade balance)/"=" (standarts of living) doesn't match, hence incorrect.

Pretty straightforward one

Kudos [?]: 25 [1], given: 48

GMAT Club Verbal Expert
Joined: 20 Nov 2016
Posts: 189

Kudos [?]: 98 [0], given: 48

Re: Neither a rising standard of living nor balanced trade, by [#permalink]

### Show Tags

23 Apr 2017, 11:35
Quote:
I am confused between option A and B.
As per first statement in stimuli, i need both - rising standard of living and balanced trade to establish country's ability to compete. As per second sentence, if any one of these parameters decline it needs to be compensated by other. IMO, the OA should be B

As explained by Alexey1989x, the passage states that both a rising standard of living and balanced trade are required simultaneously to establish a country's ability to compete. If we only know that a country can balance its trade while its standard of living falls (choice B), we do not know whether it can balance its trade while its standard of living rises. Thus, we do not know if it can achieve both requirements simultaneously.
_________________
Subscribe to GMAT Question of the Day: E-mail | RSS

Kudos [?]: 98 [0], given: 48

Manager
Joined: 12 Mar 2017
Posts: 53

Kudos [?]: 9 [0], given: 22

Re: Neither a rising standard of living nor balanced trade, by [#permalink]

### Show Tags

28 Jul 2017, 08:48
Neither a rising standard of living nor balanced trade, by itself, establishes a country's ability to compete in the international marketplace. Both are required simultaneously since standards of living can rise because of growing trade deficits and trade can be balanced by means of a decline in a country's standard of living.

The first line expresses two conditions for the country to compete in international marketplace. The last lines are only to confuse you so that you chose a wrong answer. The two conditions are rising standards of living with balanced trade.

If the facts stated in the passage above are true, a proper test of a country's ability to be competitive is its ability to

(A) balance its trade while its standard of living rises

(B) balance its trade while its standard of living falls
(C) increase trade deficits while its standard of living rises
(D) decrease trade deficits while its standard of living falls
(E) keep its standard of living constant while trade deficits rise

Kudos [?]: 9 [0], given: 22

Intern
Joined: 03 Jan 2016
Posts: 27

Kudos [?]: 2 [0], given: 3

### Show Tags

10 Aug 2017, 23:15
standard of living - The degree of wealth and material comfort available to a person or community.

If the SOL increases, people have more money, and more stock on hand. At this stage, if SOL becomes deficit, stocks go cheap or waste and cause a loss. Hence Balanced trade is important for increasing SOL.

+1 A

Kudos [?]: 2 [0], given: 3

Intern
Joined: 29 Nov 2015
Posts: 6

Kudos [?]: 7 [0], given: 17

Location: India
WE: Sales (Consumer Products)
Re: Neither a rising standard of living nor balanced trade, by [#permalink]

### Show Tags

06 Oct 2017, 02:03
Hi Expert,
I am confused between option A and B.
As per first statement in stimuli, i need both - rising standard of living and balanced trade to establish country's ability to compete. As per second sentence, if any one of these parameters decline it needs to be compensated by other. IMO, the OA should be B

Can you specify the CR question type please...

Kudos [?]: 7 [0], given: 17

Senior Manager
Joined: 04 Sep 2016
Posts: 377

Kudos [?]: 82 [2], given: 235

Location: India
WE: Engineering (Other)
Re: Neither a rising standard of living nor balanced trade, by [#permalink]

### Show Tags

06 Oct 2017, 04:12
2
KUDOS
omkarmorde

This is an inference question in which we treat the facts given in argument as true and
derive what we can logically infer from it.

Let me know if this helps!
_________________

Press kudos if you liked this post

Kudos [?]: 82 [2], given: 235

Re: Neither a rising standard of living nor balanced trade, by   [#permalink] 06 Oct 2017, 04:12

Go to page   Previous    1   2   [ 26 posts ]

Display posts from previous: Sort by