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Noting that the Federal Reserve had raised a key short-term

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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 12 Jun 2017, 21:16
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'Rising interest' rates ... makes' is wrong in A. 'A rise in interest rates make' is wrong in C and D. Between B and E, it doesn't take too long to dismiss E on wordiness. B remains
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 09 Dec 2017, 20:19
Noting that the Federal Reserve had raised a key short-term interest rate against last month, analysts said that they expected orders for durable goods to decline soon because rising interest rates makes it more expensive to buy them on credit.

(A) rising interest rates makes it more expensive to buy them on credit -- subject-verb agreement issue -- rates makes
(B) rising interest rates make buying on credit more expensive -- Correct
(C) a rise in interest rates make it more expensive to buy on credit -- subject-verb agreement issue -- rise make
(D) a rise in interest rates make buying on credit more expensive -- subject-verb agreement issue -- rise make
(E) a rise in interest rates makes it more expensive for them to be bought on credit -- passive and wordy

Answer B
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New post 27 Jan 2018, 10:18
Noting that the Federal Reserve had raised a key short-term interest rate against last month, analysts said that they expected orders for durable goods to decline soon because rising interest rates makes it more expensive to buy them on credit.

(A) rising interest rates makes it more expensive to buy them on credit - SV error
(B) rising interest rates make buying on credit more expensive - Correct
(C) a rise in interest rates make it more expensive to buy on credit -SV error and Pronoun antecedent error
(D) a rise in interest rates make buying on credit more expensive - SV error as a rise is singular and make is plural
(E) a rise in interest rates makes it more expensive for them to be bought on credit - Pronoun antecedent error, it has no clear reference
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 30 Jan 2018, 16:23
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Hi nevergiveup,

Thank you for your question.

Let's start by tackling the most obvious difference between the answers: rising interest rates vs. a rise in interest rates.

When saying the phrase "a rise in interest rates," the writer means that the interest rates only have to rise ONCE for people to order fewer durable goods. This isn't the intended meaning - the original sentence says that people will slowly buy fewer durable goods over time as the interest rates continually go up. The phrase "rising interest rates" makes more sense here. Therefore, let's rule out the answers that use "a rise in interest rates": C, D, & E.

Now we're left with answers A & B. Let's look at what's different about them:

(A) rising interest rates makes it more expensive to buy them on credit
This sentence means that if interest rates go up, buying "them," meaning only durable goods, will be more expensive on credit. This isn't true - buying anything on credit is more expensive when interest rates go up. Therefore, this isn't the best answer to show intended meaning.

(B) rising interest rates make buying on credit more expensive
This one is the correct answer because it uses the proper phrase "rising interest rates," and correctly shows that if interest rates go up, buying anything and everything on credit is more expensive.
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 26 May 2019, 09:45
I read somewhere that --

Political situations have caused an increase in gas prices --> right
Political situations have caused increasing gas prices --> wrong

Are the above examples correct? If they are, then rising rates made buying goods more expensive should be wrong and a rise in rates made buying goods more expensive goods is right?
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New post 26 May 2019, 13:18
Can someone explain if there is a strong enough reason to eliminate option E beacause of pronoun ambiguity??

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New post 26 May 2019, 14:02
yunbao wrote:
I read somewhere that --

Political situations have caused an increase in gas prices --> right
Political situations have caused increasing gas prices --> wrong

Are the above examples correct? If they are, then rising rates made buying goods more expensive should be wrong and a rise in rates made buying goods more expensive goods is right?

yunbao , welcome to GMAT Club.

I am not sure exactly where you read the two sentences that you list, but they are referenced in this topic, HERE, on the Manhattan Prep site.

The issue in that pair of sentences is one of meaning.
The answer to your question is given on that site, on that topic thread, in THIS POST, HERE.

If you read that thread and still have a specific question, please post it and tag me. I will be happy to try to help.
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 26 May 2019, 14:02
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nevergiveup wrote:
Noting that the Federal Reserve had raised a key short-term interest rate against last month, analysts said that they expected orders for durable goods to decline soon because rising interest rates makes it more expensive to buy them on credit.

(A) rising interest rates makes it more expensive to buy them on credit
(B) rising interest rates make buying on credit more expensive
(C) a rise in interest rates make it more expensive to buy on credit
(D) a rise in interest rates make buying on credit more expensive
(E) a rise in interest rates makes it more expensive for them to be bought on credit


adizephyr wrote:
Can someone explain if there is a strong enough reason to eliminate option E beacause of pronoun ambiguity??

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adizephyr , belated welcome to GMAT Club. :)

Sidebar: The original version of the answer choices was edited. (I can tell from Tommy Wallach's explanation. Now option B does not include the pronoun THEM.)

Yes, adizephyr , the "strong enough reason" to eliminate E based on pronoun ambiguity is cemented by the absence of them in option B.

• First, in general, GMAC strongly prefers that pronouns of the same form (third person plural) refer to the same noun.
A few exceptions exist.
In the non-underlined portion, they refers to analysts
Typically, them would follow suit and refer to analysts, but that connection is absurd. Analysts are not bought on credit.

The only logical antecedent for them is durable goods.
Analyzed in isolation, it is not 100% clear whether pronoun ambiguity is "enough" to eliminate E.
If I were analyzing based on pronoun clarity alone, I would hold E until I compared it with another answer.

• Second, option B, which is grammatical and logical, does not include them, thus avoiding the pronoun issue.

If B contained a clear grammatical error or conveyed illogical or nonsensical meaning, then we could argue that the noun antecedent durable goods is the only logical candidate for them in option E

But (B) presents no such issue.

Choose B because it is grammatical, logical, and because it avoids this pronoun issue.

Hope that analysis helps.
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 27 May 2019, 07:17
generis wrote:
yunbao wrote:
I read somewhere that --

Political situations have caused an increase in gas prices --> right
Political situations have caused increasing gas prices --> wrong

Are the above examples correct? If they are, then rising rates made buying goods more expensive should be wrong and a rise in rates made buying goods more expensive goods is right?

yunbao , welcome to GMAT Club.

I am not sure exactly where you read the two sentences that you list, but they are referenced in this topic, HERE, on the Manhattan Prep site.

The issue in that pair of sentences is one of meaning.
The answer to your question is given on that site, on that topic thread, in THIS POST, HERE.

If you read that thread and still have a specific question, please post it and tag me. I will be happy to try to help.


Thanks. But I dont think the linked thread explained my question. The linked thread argued that "buying" is a noun. I agree. But it does not touch on why "rise" is not the noun. I know that "increase" is a noun. But increase and rise here mean the same thing to me. Meaning wise, I think they have the same issue -- interest rate itself does not cause "buying" more expensive, it is the rise that does the work.

Thanks.
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New post 27 May 2019, 14:13
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generis

Thank You for the explanation..

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New post 18 Jul 2019, 04:59
The sentence says "Federal Reserve had raised a key short-term interest rate against last month"-- which means the interest rate was raised once. I don't see how it implies that that rates will keep rising. How can we say "Rising interest rates" in the correct answer choice.

I had narrowed it down to C,D and E and rejected C and D because of S-V agreement error(make)

GMATNinja can you please help me with this? Thanks.
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New post 27 Jul 2019, 15:25
shrupk wrote:
The sentence says "Federal Reserve had raised a key short-term interest rate against last month"-- which means the interest rate was raised once. I don't see how it implies that that rates will keep rising. How can we say "Rising interest rates" in the correct answer choice.

I had narrowed it down to C,D and E and rejected C and D because of S-V agreement error(make)

GMATNinja can you please help me with this? Thanks.

We don't know for sure that interest rates will keep rising. Notice that "rising" is just an adjective in (A) and (B), and we know that interest rates were raised AT LEAST once before (it's possible that the rates were raised several times before). Regardless of how long the rates have been rising, we can certainly say that interest rates have, in fact, been rising!

Because interest rates have been rising, analysts expect orders for durable goods to decline soon. Now it is certainly possible that the Federal Reserve lowers interest rates next month and that orders for durable goods don't change much. But the analysts' logic remains sound:

    1) "rising interest rates make buying on credit more expensive"
    2) Interest rates have been rising recently (for however long)
    3) Therefore, we expect orders for durable goods to decline soon

Whether interest rates actually continue to rise isn't important.

I hope that helps!
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 30 Jul 2019, 03:06
nevergiveup wrote:
Noting that the Federal Reserve had raised a key short-term interest rate against last month, analysts said that they expected orders for durable goods to decline soon because rising interest rates makes it more expensive to buy them on credit.

(A) rising interest rates makes it more expensive to buy them on credit
(B) rising interest rates make buying on credit more expensive
(C) a rise in interest rates make it more expensive to buy on credit
(D) a rise in interest rates make buying on credit more expensive
(E) a rise in interest rates makes it more expensive for them to be bought on credit


look at choice e.
choice e make terrible mistake clearly. there are 2 cases for choice e.

first interpretation. we do not have idiom "make it +adjective for something to do". this is not idiomatic.

second interpretation
"for somebody to do" is used to show a purpose of the main clause

I save money for my son to go to us.
compare
I save money to go to us

both "to go to us" and "for my son to go to us" show a purpose of the main clause. the difference is the first the second agent , "my son" appear and the future action "to go to us" refers to the second agent. in the second, only one agent , subject , "I" appear, and "to go to us" refer to this agent .

in short "for somebody to do" work as "to do" in a sentence, and the only difference is the second agent, different from the subject, is the agent who will perform future action of " to do".

so , choice e can be rewritten as

for them to be bought on credit, the rise makes it more expensive.

this sentence make no sense clearly. in order that they are brought on credit, rise in interest rates makes it more expensive. the main clause is not idiomatic and the meaning relation between the first part and the main clause is absurd.

so, choice e is absurd clearly
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 30 Jul 2019, 03:20
i am sory. i am wrong in previous posting

"make it+adjective +for somebody to do" is an idiom to remember on gmat.
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Re: Noting that the Federal Reserve had raised a key short-term  [#permalink]

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New post 15 Sep 2019, 05:30
nevergiveup wrote:
Noting that the Federal Reserve had raised a key short-term interest rate against last month, analysts said that they expected orders for durable goods to decline soon because rising interest rates makes it more expensive to buy them on credit.

(A) rising interest rates makes it more expensive to buy them on credit
(B) rising interest rates make buying on credit more expensive
(C) a rise in interest rates make it more expensive to buy on credit
(D) a rise in interest rates make buying on credit more expensive
(E) a rise in interest rates makes it more expensive for them to be bought on credit



(A) rising interest rates makes it more expensive to buy them on credit - Wrong: 1) SV 2) "it"
(B) rising interest rates make buying on credit more expensive - Correct
(C) a rise in interest rates make it more expensive to buy on credit - Wrong: 1) SV 2) "it"
(D) a rise in interest rates make buying on credit more expensive - Wrong: 1) SV
(E) a rise in interest rates makes it more expensive for them to be bought on credit - Wrong: 1) "it" 2) Passive
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Re: Noting that the Federal Reserve had raised a key short-term   [#permalink] 15 Sep 2019, 05:30

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