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Ports, extremely expensive not only to develop, but also to maintain,

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Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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Ports, extremely expensive not only to develop, but also to maintain, earn revenues through fees payed by shipping companies exporting or importing goods through the port. Ports in countries that are completely self-reliant in terms of the manufacturing and production of commodities, raw materials and resources in general must generate lower incomes than ports of a similar size in countries that produce only a portion of their goods and resources since the latter are more likely to enjoy higher levels of activity than the former, and in turn, earn more income from fees being paid.

Which of the following, if true, casts the most doubt on the argument's conclusion?

A) Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production.
B) Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.
C) Because of the enormous expenses inherent to the successful operation of an active port, the accumulation of income from trade activity through the port is to continue for years before a port can begin to generate profits from its activity.
D) Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.
E) Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.
[Reveal] Spoiler: OA

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 05 Sep 2015, 13:28
Harley1980, Can you please explain why B is not the choice ?
Thanks in advance....

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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subhamoycomputer wrote:
Harley1980, Can you please explain why B is not the choice ?
Thanks in advance....


Hello subhamoycomputer

Here is OE:

To solve this Conclusion Weakening question, first break down the argument. The first sentence is a premise which provides factual data while the last sentence, containing the word must, is the author's judgment and, therefore, the conclusion:
Premise A: ports earn money by fees paid by shipping companies that use them
=
Conclusion: ports that deal mostly in export earn less than those that do both export and import since the latter have more work
Possible assumption: fees for import and those for export are the same
Weakening Data: ?
You are required to find data that weakens the conclusion that ports with two-way traffic earn more than those that mainly export. The correct answer could be one that exposes the argument's assumption.

A) Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production.
Incorrect. This answer choice neither weakens nor strengthens the conclusion. The conclusion compares between the financial situations of different kinds of ports, but this answer choice discusses different countries.

B) Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.
Incorrect. This answer neither weakens nor strengthens the conclusion. The argument focuses on the earnings of two kinds of ports. The reasons for which ports import and\or export are irrelevant since they have nothing to do with how much they earn when they export and\or import.

C) Because of the enormous expenses inherent to the successful operation of an active port, the accumulation of income from trade activity through the port is to continue for years before a port can begin to generate profits from its activity.
Incorrect. This answer choice neither weakens nor strengthens the conclusion. Since the information in this statement applies to both kinds of port while the conclusion compares between the ports, it cannot help us attack the argument's position.

D) Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.
Incorrect. This answer choice strengthens the conclusion. If ports that deal in two-way trading attract business and investors than they are definitely likely to earn more than those that mostly handle export.

E) Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.
Correct. This answer choice attacks the argument's assumption. If export fees include an extra commission, this makes them higher than import fees. This means that a port that deals mostly in export will earn more than one that deals with both export and import, perhaps even if it accommodates lower levels of shipping activity.
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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 06 Sep 2015, 02:38
As per your statement "This answer choice attacks the argument's assumption. If export fees include an extra commission, this makes them higher than import fees. This means that a port that deals mostly in export will earn more than one that deals with both export and import, perhaps even if it accommodates lower levels of shipping activity."

Agreed that the fees levied on export is higher than on import, if assumed. But how come it is higher than both export and import combined. If E > I, where E is export fees and I is import fees, then how come E > I + E. Explanation doesn't justify the answer. There must be some other explanation or else the Answer stands inappropriate.

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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scorpionkapoor77 wrote:
As per your statement "This answer choice attacks the argument's assumption. If export fees include an extra commission, this makes them higher than import fees. This means that a port that deals mostly in export will earn more than one that deals with both export and import, perhaps even if it accommodates lower levels of shipping activity."

Agreed that the fees levied on export is higher than on import, if assumed. But how come it is higher than both export and import combined. If E > I, where E is export fees and I is import fees, then how come E > I + E. Explanation doesn't justify the answer. There must be some other explanation or else the Answer stands inappropriate.



Hello scorpionkapoor77

Premise: we have two similar ports one of them A has 60 tons of export + 60 of import and another B has 90 tons of export.
(The argument does not say that these ports have equal volumes of export only that these ports have similar size)

Conclusion: Port with export + import has more activity and should have more profits

What if price for loading 1 ton of export or import is symbolic ($1 per ton) and comission is huge ($100 per ton)?
When only volume of export is meaningful:

A profits = 60exp * $1 + 60imp * $1 + 60com * $100 = $6120
B profits = 90exp * $1 + 90com * $100 = $9090

So conclusion is potentially wrong in some situations
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Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 07 Sep 2015, 06:03
Ports are extremely expensive to develop and maintain

They earn revenues through fees payed by shipping companies exporting or importing goods through the port.

Ports in countries that are completely self-reliant in terms of the manufacturing and production of commodities, raw materials and resources in general must generate lower incomes than ports of a similar size in countries that produce only a portion of their goods and resources

since the latter are more likely to enjoy higher levels of activity than the former, and in turn, earn more income from fees being paid.

self reliance.........less income.......lower level of activity
partial production.....more income...........higher level of activity

Which of the following, if true, casts the most doubt on the argument's conclusion?

A) Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production.
(This is too broad...as it mentions the countries rather than their ports)

B) Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.
(This does not help in any way)

C) Because of the enormous expenses inherent to the successful operation of an active port, the accumulation of income from trade activity through the port is to continue for years before a port can begin to generate profits from its activity.
(This is common for both the ports.....does not help)

D) Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.
(supports the conclusion...trap....we need to weaken)

E) Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.
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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 07 Sep 2015, 21:47
Thanks Harley1980, for your prompt reply.

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#Top150 CR: Ports, extremely expensive not only to develop but also [#permalink]

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Ports, extremely expensive not only to develop, but also to maintain, earn revenues through fees payed by shipping companies exporting or importing goods through the port. Ports in countries that are completely self-reliant in terms of the manufacturing and production of commodities, raw materials and resources in general must generate lower incomes than ports of a similar size in countries that produce only a portion of their goods and resources since the latter are more likely to enjoy higher levels of activity than the former, and in turn, earn more income from fees being paid.

Which of the following, if true, casts the most doubt on the argument's conclusion?

A. Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production.

B. Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.

C. Because of the enormous expenses inherent to the successful operation of an active port, the accumulation of income from trade activity through the port is to continue for years before a port can begin to generate profits from its activity.

D. Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.

E. Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.
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Re: #Top150 CR: Ports, extremely expensive not only to develop but also [#permalink]

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New post 27 Dec 2015, 21:24
"B" directly suggests that the ports which are more into exportation do so as an additional activity. Importation of goods is equally prevalent in those ports which suggest these ports have a dual income from both importation and exportation."C" is a good trap. But a careful look at "C" would reveal that there are profits in the long run. So it does not weaken the argument."B" is a better answer.
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Re: #Top150 CR: Ports, extremely expensive not only to develop but also [#permalink]

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New post 28 Dec 2015, 06:10
The Conclusion of the argument is: Ports of countries that are completely self-reliant generate lower incomes when compared to Ports of countries that depend on Import/Export
The Reason: Ports earn only through FEES paid by shipping companies that import or Export, and a completely self reliant country WILL not have Import/Export activity comparable with a dependent one. Lower activities causes lower revenues by FEES

To Weaken this argument, we need to find either an alternate means to earn income or prove that even Ports of self-reliant country have high activity

A. Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production.
->This Choice is comparing countries and not the activity in Ports

B. Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.
->This choice gives us a reason to say for why Exportation is not feasible. If this holds true, self-reliant countries cannot export and will have a lower activity

C. Because of the enormous expenses inherent to the successful operation of an active port, the accumulation of income from trade activity through the port is to continue for years before a port can begin to generate profits from its activity.
->We are interested not in the Profit generated by the Port, but in its activity

D. Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.
->This states the Popular Port's will continue to be popular. This in a sense supports both sides or neither

E. Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.
->This Choice states that For every successful export, the Profits earned by the Ports are higher! At a first glance, this seems to apply to both kind of Ports, but only self-reliant Countries can afford to export at higher rates or even export at all! Providing a valid reason for high activity as well as high income

Hope This Helps :)

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 03 Jul 2017, 10:56
Where did you get this conclusion? Conclusion: ports that deal mostly in export earn less than those that do both export and import since the latter have more work
The original argument doesn't state this. It sounds more like an assumption, but still a bit far-fetched because the original argument talks about the country's self-relience, meaning that it has enough to cover its own needs, but we cannot simply assume that it has leftovers to export, maybe yes maybe no. So imho this argument takes too much for granted.

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 03 Jul 2017, 12:41
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Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 04 Jul 2017, 22:14
stan3544 wrote:
Where did you get this conclusion? Conclusion: ports that deal mostly in export earn less than those that do both export and import since the latter have more work
The original argument doesn't state this. It sounds more like an assumption, but still a bit far-fetched because the original argument talks about the country's self-relience, meaning that it has enough to cover its own needs, but we cannot simply assume that it has leftovers to export, maybe yes maybe no. So imho this argument takes too much for granted.


Self reliant ports wouldn't need to import anything so they will only export . Semi self reliant will export some and import some. Anyways for E to be true we need to assume a lot in terms of the fees and the volume of goods exported. Let us ask an expert to understand this more clearly.

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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Merged topics. Please, search before posting questions!
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Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 19 Aug 2017, 23:09
mikemcgarry : hey Mike, can I have your expert thoughts on this one. I chose B over E. But now I feel that none of the options are well drafted. While option E does mention that ports initiating exports do have a higher exportation price because of the additional commission, and hence higher income, this statement does not mention anything about the corresponding ports that initiate an import. Maybe, they have an even higher commission. PLus, the choice seems to to be very week.

While B , which might not be the best answer still points to a fact that yet there is an additional activity that can generate incomes for those ports in countries that are predominantly sufficient. Again, I don't think this choice makes much sense either. Can you please throw in some clarifications for both of these choices?

Is this really a good question?

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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 22 Aug 2017, 09:13
harshdeep12 wrote:
mikemcgarry : hey Mike, can I have your expert thoughts on this one. I chose B over E. But now I feel that none of the options are well drafted. While option E does mention that ports initiating exports do have a higher exportation price because of the additional commission, and hence higher income, this statement does not mention anything about the corresponding ports that initiate an import. Maybe, they have an even higher commission. PLus, the choice seems to to be very week.

While B , which might not be the best answer still points to a fact that yet there is an additional activity that can generate incomes for those ports in countries that are predominantly sufficient. Again, I don't think this choice makes much sense either. Can you please throw in some clarifications for both of these choices?

Is this really a good question?

Dear harshdeep12,

I'm happy to respond. :-)

The short answer, my friend is simply: no, this is not a high quality question. The topic is interesting, but the writing in the prompt leaves something to be desired and the answer choices are abysmally constructed. This question does not have the tight rigorous logic characteristic of official questions. It is sloppy and poorly thought out.

Let's look at (B):
Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.
This answer contains this wildly ambiguous phrase "Ports that choose to accommodate higher rates of exportation . . . " What on earth does this mean? Is this an advertising or PR policy? Does it has to do with the business contacts the directors of the port establishes? Are there any differential rates for imports vs. export, or difference in fees? Does this imply any financial consequences at all? We don't know. We have absolutely no idea what this phrase means or what it might imply for the argument.
Given the question's other problems, it's unclear to me whether the question writer meant to create something wildly ambiguous, but he has. Because this is ambiguous, it cannot be a correct answer.

Now, let's look at (E), the putative OA.
Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.
OK, so the short story is that ports that export stuff make wheelbarrows full of money from it. But here's the problem. Let's go back to the prompt. The prompt says:
"Ports in countries that are completely self-reliant in terms of the manufacturing and production of commodities, raw materials and resources in general must generate lower incomes than ports of a similar size in countries that produce only a portion of their goods and resources since the latter are more likely to enjoy higher levels of activity than the former, and in turn, earn more income from fees being paid."
That sentence is long, less than crystal clear, and logically sloppy. In particular, something is funny about the parallelism: yes, "commodities" are both manufactured and produced, and "raw materials" certainly are "produced" but they really aren't "manufactured"--something doesn't work there. Furthermore, "resources" are "consumed" or "utilized," but they aren't really "produced" and they certainly aren't "manufactured." Finally, the clause following "since," which is predicated as a cause, seems as if it should be an effect. There's something unclear about the logic there, in part because the author felt compelled to cram two sentences worth of material into a single behemoth of poor logic.
Be that as it may, notice that we have no idea what it means for a country to be "self-reliant in terms of the manufacturing and production of commodities, raw materials and resources." Do such countries have exactly enough to serve their own needs and build up healthy reserves for their own population? Or do they have extra merchandise to export? And if they are going to export, are these exports necessarily going to leave through the ports vs. through land routes to bordering countries?

You see, (E) would be a good clear answer if we had any guarantee that these countries would be shipping out exports through the ports, but we just don't know that. Technically, we don't know that these self-sufficient countries are exporting anything, and if they are, does any of the exporting happen through the sea ports, as opposed to trains and trucks to adjacent countries? It depends very much on what it had to export, who that countries trading partners were, etc.

Overall, this is a question that, from the topic, had amazing potential to be a wonderful question, and certainly (B) works well as a trap answer, but there are gigantic logical gaps between the prompt and what the question wants to conclude is the OA. This is not a logically tight question.

As someone who writes practice questions professionally, I would give this question a grade of a D-.

Here's a high quality CR practice question:
Violent felonies in Dismaston

Does all this make sense?
Mike :-)
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Re: Ports, extremely expensive not only to develop, but also to maintain, [#permalink]

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New post 26 Aug 2017, 20:25
Ports, extremely expensive not only to develop, but also to maintain, earn revenues through fees payed by shipping companies exporting or importing goods through the port. Ports in countries that are completely self-reliant in terms of the manufacturing and production of commodities, raw materials and resources in general must generate lower incomes than ports of a similar size in countries that produce only a portion of their goods and resources since the latter are more likely to enjoy higher levels of activity than the former, and in turn, earn more income from fees being paid.

Which of the following, if true, casts the most doubt on the argument's conclusion?

A) Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production.
B) Ports that choose to accommodate higher rates of exportation, as opposed importation, do not always do so because of a lack of a necessity for imported goods, but instead in some cases because of their proximity to sources of raw materials.
C) Because of the enormous expenses inherent to the successful operation of an active port, the accumulation of income from trade activity through the port is to continue for years before a port can begin to generate profits from its activity.
D) Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.
E) Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships.

Argument question : Weakener.
Ports in countries that are completely self-reliant in terms of the manufacturing and production of commodities, raw materials and resources in general must generate lower incomes than ports of a similar size in countries that produce only a portion of their goods and resources since the latter are more likely to enjoy higher levels of activity than the former, and in turn, earn more income from fees being paid. => Income of Ports if self reliant < Income of Ports not self reliant (Due to higher activity)
Revenue source of port - through fee paid by shipping companies.

Pre-thinking:
Higher revenue doesn't translate into high income all the time.
May be port with higher activity are expensive to maintain. more expenditure, more employee salary.

A) Countries that enjoy high levels of production, whether industrial or agricultural, to the point that they become almost completely self-reliant, are always in a position of greater financial strength and stability than those that do not enjoy such abundant production. => it proves nothing about greater financial strength and stability for port. May be port in self-reliant company do well, but it doesn't mean that they do better in comparison to port not in self-reliant companies.

D) Ports that function as trading points for both importation and exportation acquire a reputation for being centers of financial activity and economical growth, thereby attracting the business of additional companies and the interest of investors.

D is talking about ports, which are high in both activity - import and export. Out of scope.
E) Fees paid to a certain port by ships initiating the exportation of goods from that port, according to international shipping laws, must include a commission based on the profits earned by the retail of the wares carried by those ships. -> this proves that self-reliant countries port has extra advantage because they export more. => export fee+ commission.

Kudos [?]: 40 [0], given: 342

Re: Ports, extremely expensive not only to develop, but also to maintain,   [#permalink] 26 Aug 2017, 20:25
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