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Difficulty:
45%
(medium)
Question Stats:
70% (02:17) correct
30%
(02:19)
wrong
based on 1808
sessions
History
Date
Time
Result
Not Attempted Yet
Professor A: We must make a strong moral statement against Country X’s policies. Only total divestment—the sale of all stock in companies that have factories or business offices in X—can do this. Therefore, the university should divest totally.
Professor B: Our aim should be to encourage X to change its policies. Partial divestment is the best way to achieve this aim. Therefore, the university should sell its stock only in companies that either sell goods to X’s government, or do the majority of their business in X, or treat their workers in X unfairly.
Which of the following, if true, would be evidence that the university would not be harmed economically if it followed Professor A’s recommendation.
(A) Very few of the companies in which the university owns stocks sell goods to X’s government.
(B) Most companies that have factories or business offices in X and in which the university owns stock actually do little of their business in X.
(C) Some companies that have factories or business offices in X and in which the university owns stock have instituted fair treatment policies for their workers in X at very little additional cost to the companies.
(D) The expected financial return to the university from stocks that the university could own under a policy of total divestment is approximately the same as the expected financial return from the same as the expected financial.
(E) If the university sold large blocks of stock under a policy of total divestment, the prices of the stocks of the companies whose stocks were sold would probably decrease somewhat.
_________________
Professor B: Our aim should be to encourage X to change its policies. Partial divestment is the best way to achieve this aim. Therefore, the university should sell its stock only in companies that either sell goods to X’s government, or do the majority of their business in X, or treat their workers in X unfairly.
Which of the following, if true, would be evidence that the university would not be harmed economically if it followed Professor A’s recommendation.
(A) Very few of the companies in which the university owns stocks sell goods to X’s government.
(B) Most companies that have factories or business offices in X and in which the university owns stock actually do little of their business in X.
(C) Some companies that have factories or business offices in X and in which the university owns stock have instituted fair treatment policies for their workers in X at very little additional cost to the companies.
(D) The expected financial return to the university from stocks that the university could own under a policy of total divestment is approximately the same as the expected financial return from the same as the expected financial.
(E) If the university sold large blocks of stock under a policy of total divestment, the prices of the stocks of the companies whose stocks were sold would probably decrease somewhat.
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Posts: 2
A) Wrong , because even though the amount is small, the university will be affected financially
B) wrong, because according to A it doesn't matter whether they do little business or a lot of business.
C)Wrong, it doesn't matter to A
D) correct, potential financial position of the university on adopting total divestment will be same compared to not following total divestment
E) Wrong, Not relevant to the question, this could send a statement to X but is unrelated to the university's economic state.
B) wrong, because according to A it doesn't matter whether they do little business or a lot of business.
C)Wrong, it doesn't matter to A
D) correct, potential financial position of the university on adopting total divestment will be same compared to not following total divestment
E) Wrong, Not relevant to the question, this could send a statement to X but is unrelated to the university's economic state.
napolean92728
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The correct answer is (D).
Let me explain why option D is correct and why the other options can be eliminated:
Option D states that "The expected financial return to the university from stocks that the university could own under a policy of total divestment is approximately the same as the expected financial return from [the stocks they currently own]." This directly addresses whether the university would be economically harmed by following Professor A's recommendation for total divestment. If the university can achieve similar financial returns after divesting from all companies with connections to Country X, then there would be no economic harm from following Professor A's recommendation.
Let's review why the other options are incorrect:
Option A: "Very few of the companies in which the university owns stocks sell goods to X's government." This only addresses a subset of companies affected under Professor B's partial divestment plan (those selling goods to X's government). It tells us nothing about the economic impact of Professor A's total divestment recommendation.
Option B: "Most companies that have factories or business offices in X and in which the university owns stock actually do little of their business in X." This suggests that under Professor B's plan, many companies might not need to be divested from since they do little business in X. However, it doesn't address the economic impact of Professor A's total divestment plan.
Option C: "Some companies that have factories or business offices in X and in which the university owns stock have instituted fair treatment policies for their workers in X at very little additional cost to the companies." This relates to one criteria of Professor B's plan (companies that treat workers unfairly), but doesn't address the economic impact of Professor A's total divestment plan.
Option E: "If the university sold large blocks of stock under a policy of total divestment, the prices of the stocks of the companies whose stocks were sold would probably decrease somewhat." This actually suggests there would be some economic harm from Professor A's plan, as the university would receive less money from selling the stocks than their current value. This contradicts what we're looking for.
Let me explain why option D is correct and why the other options can be eliminated:
Option D states that "The expected financial return to the university from stocks that the university could own under a policy of total divestment is approximately the same as the expected financial return from [the stocks they currently own]." This directly addresses whether the university would be economically harmed by following Professor A's recommendation for total divestment. If the university can achieve similar financial returns after divesting from all companies with connections to Country X, then there would be no economic harm from following Professor A's recommendation.
Let's review why the other options are incorrect:
Option A: "Very few of the companies in which the university owns stocks sell goods to X's government." This only addresses a subset of companies affected under Professor B's partial divestment plan (those selling goods to X's government). It tells us nothing about the economic impact of Professor A's total divestment recommendation.
Option B: "Most companies that have factories or business offices in X and in which the university owns stock actually do little of their business in X." This suggests that under Professor B's plan, many companies might not need to be divested from since they do little business in X. However, it doesn't address the economic impact of Professor A's total divestment plan.
Option C: "Some companies that have factories or business offices in X and in which the university owns stock have instituted fair treatment policies for their workers in X at very little additional cost to the companies." This relates to one criteria of Professor B's plan (companies that treat workers unfairly), but doesn't address the economic impact of Professor A's total divestment plan.
Option E: "If the university sold large blocks of stock under a policy of total divestment, the prices of the stocks of the companies whose stocks were sold would probably decrease somewhat." This actually suggests there would be some economic harm from Professor A's plan, as the university would receive less money from selling the stocks than their current value. This contradicts what we're looking for.
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