The country of Oleum can best solve the problem of its balance of

Question

The following appeared as part of an article in a weekly newsmagazine:

“The country of Oleum can best solve the problem of its balance of trade deficit by further increasing the tax on its major import, crude oil. After Oleum increased the tax on imported crude oil four months ago, consumption of gasoline declined by 20 percent. Therefore, by imposing a second and significantly higher tax increase next year, Oleum will dramatically decrease its balance of trade deficit.”

Discuss how well reasoned . . . etc.

The argument concludes that by imposing a second and significantly higher tax on crude oil imports, the country of Oleum will dramatically decrease its trade deficit balance. To support this conclusion, the argument claims that the best solution to solve Oleum’s trade deficit problem is by further increasing the tax on its major import, crude oil. Stated in this way, the argument fails to consider several key factors on the basis of which it could be evaluated. The conclusion of the argument relies on assumptions for which there is no clear evidence. Therefore, the argument is unconvincing and has several flaws.

First, the argument readily assumes that crude oil consumption will not decrease by increasing import taxes on it. This statement is a stretch and not substantiated in any way. For instance, to avoid high price of gasoline, people of Oleum might switch to hybrid or electric vehicles, take the bus or train to work, or carpool with others. Clearly, increasing import taxes may not decrease trade deficit. Further, if there is a domestic supplier of crude oil which is unaffected by import taxes, people might consume more of this supplier’s gasoline. The argument could be much clearer if it explicitly stated that there are no domestic crude oil suppliers and consumption of gasoline will not decrease with increased import taxes.

Second, the argument claims that by increasing the import tax significantly next year, Oleum will dramatically decrease its trade deficit. This is again a very weak statement as the argument does not demonstrate any correlation between increased taxes and decreased trade deficit. In fact, the argument provides evidence that consumption of gasoline decreased by 20 percent within four months after the increase in import tax. If this is any indication, gasoline consumption might probably go down next year as well. If the argument had provided evidence that increased import tax will not lead to decreased gasoline consumption, then it would have been a lot more convincing.

Finally, has the author considered other areas of trade where import taxes could be increased? Also, has the author considered increasing the exports of Oleum in order to decrease its trade deficit? Without convincing answers to these questions, one is left with an impression that the claim is more wishful thinking than substantive evidence.

In conclusion, the argument is flawed for the above mentioned reasons and is therefore, unconvincing. It could be considerably strengthened if the author had mentioned all the relevant factors, such as correlation between increased tax on crude oil and non-decreasing consumption of gasoline, other areas of trade where trade deficit could be minimized. In order to assess the merits of the claim that increasing import tax significantly next year will dramatically decrease trade deficit, it is essential to have full knowledge of all contributing factors. Without this information, the argument remains unsubstantiated and open to debate.

Sajjad1994 · Answer

AWA Score: 5 out of 6

I have used a GMAT AWA auto-grader to evaluate your essay.

Coherence and connectivity: 3.5/5  
This rating corresponds to the flow of ideas and expressions from one paragraph to another. The effective use of connectives and coherence of assertive language in arguing for/against the argument is analyzed. This is deemed as one of the most important parameters.

Paragraph structure and formation: 4.5/5   
The structure and division of the attempt into appropriate paragraphs are evaluated. To score well on this parameter, it is important to organize the attempt into paragraphs. Preferable to follow the convention of leaving a line blank at the end of each paragraph, to make the software aware of the structure of the essay.

Vocabulary and word expression: 4/5 
This parameter rates the submitted essay on the range of relevant vocabulary possessed by the candidate basis the word and expression usage. There are no extra- points for bombastic word usage. Simple is the best form of suave!

Good Luck

Aneri15 · Answer

In the following passage, a solution is proposed to overcome the trade debt experienced by the country of Oleum. The country plans on imposing heavy duties on crude oil, their major import, and continue to do so for a higher amount the next year. This solution is however open to debate for several reasons as discussed in the subsequent paragraphs.

Firstly, the claim states that tax imposition is the best way to overcome the deficit. However, the position fails to assess any other alternatives that might resolve the issue without charging heavy taxes, and may in fact be a better solution. The argument also doesn't consider spreading out the taxes on several different imports instead of putting all the pressure on one import, crude oil. This solution may take the burden off one item and be more economical for the general public. Therefore, no such claim can be made with certainty without assessing all the different solutions.

Secondly, it is mentioned that gasoline consumption goes down by 20 percent, four months after the tax initiative is put into effect. However, this statement is not supported by any evidence explaining the correlation between the two events. It can be a mere coincidence, or may even depend on other factors such as decreased demand, or cheaper export, that may have impacted the gasoline price. Moreover, the base price for gasoline is not mentioned to truly determine if 20 percent is a considerable decrease or not. Thus, with this incomplete information, the importance of the given statement remains unknown.

Finally, the passage goes so far as to establish that the tax should be further increased for the coming year, based on half-baked conclusions from the previous statements. There is no validity to this claim as the full picture of the implications of tax imposition still remains a mystery. Moreover, imposing higher taxes can prove to be counterproductive for the country, in case the crude oil become unaffordable and people stop using it. This would lead to a fall in demand, and an abundance of supply, leading to further deficit.

For the above-mentioned reasons, this argument lacks a lot of necessary evidence to testify to the claim with certainty. Without it, one cannot conclude with surety if it's a good idea to stick to the strategy suggested in the passage.

Sajjad1994 · Answer

AWA Score: 6 out of 6

Coherence and connectivity: 6
The essay demonstrates excellent coherence and connectivity. The ideas are well-organized and presented in a logical and clear manner. The writer effectively connects each paragraph to the main argument and provides a smooth flow of information and analysis.

Word structure: 5.5
The essay utilizes a good range of vocabulary and effectively expresses ideas. The sentences are generally well-structured and demonstrate a good command of grammar. There are a few instances where sentence structures could be further varied to enhance the overall writing style.

Paragraph structure and formation: 6
The essay follows a clear paragraph structure with an introduction, body paragraphs, and a conclusion. Each paragraph focuses on a specific point and provides sufficient explanation and analysis. The ideas are well-developed within each paragraph, and the essay as a whole has a cohesive structure.

Language and Grammar: 6
The essay demonstrates strong language and grammar skills. The writer effectively communicates their ideas with clarity and precision. There are only minor grammatical errors or inconsistencies, which do not significantly hinder understanding.

Vocabulary and word expression: 6
The writer displays a wide range of vocabulary and uses words appropriately to express their ideas. The essay incorporates specialized terms, such as "balance of trade deficit" and "imposing heavy duties," which contribute to the effectiveness of the argument. The vocabulary choices are varied and demonstrate a good command of language.

Overall, the essay exhibits a strong level of writing skill and effectively evaluates the given argument. It provides a clear analysis of the reasoning and use of evidence while highlighting the flaws in the argument. The essay demonstrates coherence and connectivity, a strong word structure, well-organized paragraph formation, proficient language and grammar usage, and a good vocabulary and word expression.

The country of Oleum can best solve the problem of its balance of

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