It is currently 17 Dec 2017, 17:07

Close

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
Your Progress

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

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Close

Request Expert Reply

Confirm Cancel

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

The federal bankruptcy laws illustrate the folly of do-good

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
GMAT Club Legend
GMAT Club Legend
avatar
Joined: 15 Dec 2003
Posts: 4284

Kudos [?]: 545 [0], given: 0

The federal bankruptcy laws illustrate the folly of do-good [#permalink]

Show Tags

New post 12 Jun 2004, 20:07
00:00
A
B
C
D
E

Difficulty:

(N/A)

Question Stats:

0% (00:00) correct 100% (01:29) wrong based on 3 sessions

HideShow timer Statistics

The federal bankruptcy laws illustrate the folly of do-good protectionism at its most extreme. At the debtor's own request, the judge will list all of his debts; take what money the debtor has, which will be very little; and divide that small amount among his creditors. Then the judge declares that those debts are thereby satisfied, and the debtor is free from those creditors. Why, a person could take his credit card and buy a car, a stereo, and a new wardrobe and then declare himself bankrupt!t, he will have conned his creditors into giving him all those things for nothing.

Which of the following adages best describes the author's attitude about a bankrupt debtor?
A) "a penny saved is a penny earned"
B) "you've made your bed, now lie in it"
C) "absolute power corrupts absolutely"
D) "he that governs least govers best"
E) "millions for defense, but not one cent for tribute"
_________________

Best Regards,

Paul

Kudos [?]: 545 [0], given: 0

SVP
SVP
User avatar
Joined: 30 Oct 2003
Posts: 1788

Kudos [?]: 114 [0], given: 0

Location: NewJersey USA
 [#permalink]

Show Tags

New post 12 Jun 2004, 21:20
what a weird CR.

I like (E) but cannot explain it confidently.

Kudos [?]: 114 [0], given: 0

Director
Director
User avatar
Joined: 01 Feb 2003
Posts: 838

Kudos [?]: 132 [0], given: 0

Location: Hyderabad
 [#permalink]

Show Tags

New post 13 Jun 2004, 01:21
B is my FA

the author suggests that the debitor does not have any remorse - and infact misutilises the loop hole

Kudos [?]: 132 [0], given: 0

Manager
Manager
User avatar
Joined: 01 Jun 2004
Posts: 184

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

Location: Kiev, Ukraine
 [#permalink]

Show Tags

New post 13 Jun 2004, 03:56
I think that the answer is C.

The author talks about smth being extreme, and the example he uses is a bit extreme, so I'll choose an adage that's a bit extreme as well. :!:

PS. Can somebody explain, in general terms what does the expression 'you've made your bed, now lay in it' means? I've never heard it before... Just to further my education
_________________

Searching for an answer...


Last edited by SmashingGrace on 13 Jun 2004, 13:20, edited 1 time in total.

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

Senior Manager
Senior Manager
avatar
Joined: 05 Feb 2004
Posts: 290

Kudos [?]: 6 [0], given: 0

Location: USA
 [#permalink]

Show Tags

New post 13 Jun 2004, 05:16
C for me too, same reasoning as SmashingG.......!

Kudos [?]: 6 [0], given: 0

Senior Manager
Senior Manager
User avatar
Joined: 23 Aug 2003
Posts: 460

Kudos [?]: 27 [0], given: 0

Location: In the middle of nowhere
 [#permalink]

Show Tags

New post 13 Jun 2004, 11:09
I think it should be B...

The author wants the debtor to pay back for all the things he/she buys and not just get away by declaring bankruptcy.

Vivek.
_________________

"Start By Doing What Is Necessary ,Then What Is Possible & Suddenly You Will Realise That You Are Doing The Impossible"

Kudos [?]: 27 [0], given: 0

GMAT Club Legend
GMAT Club Legend
avatar
Joined: 15 Dec 2003
Posts: 4284

Kudos [?]: 545 [0], given: 0

 [#permalink]

Show Tags

New post 13 Jun 2004, 21:11
OA is B
One of the key words here is "folly". Author says government is foolish to limit individuals' debts to their residual asset value in instances of bankruptcy: consumers will load up their debt, go bankrupt and leave very little available assets to creditors. Hence, it is the government's own loss to protect individuals (do-good protectionism).

B says exactly that.
You've made your bed (you created your own problems)
now lie in it (now live with it)
_________________

Best Regards,

Paul

Kudos [?]: 545 [0], given: 0

  [#permalink] 13 Jun 2004, 21:11
Display posts from previous: Sort by

The federal bankruptcy laws illustrate the folly of do-good

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  

Moderators: GMATNinjaTwo, GMATNinja



GMAT Club MBA Forum Home| About| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.