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# The recent decline in the value of the dollar was triggered

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The recent decline in the value of the dollar was triggered [#permalink]

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18 Apr 2004, 13:53
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The recent decline in the value of the dollar was triggered by a prediction of slower economic growth in the coming year. But that prediction would not have adversely affected the dollar had it not been for the governmentтАЩs huge budget deficit, which must therefore be decreased to prevent future currency declines.

Which of the following, if true, would most seriously weaken the conclusion about how to prevent future currency declines?
(A) The government has made little attempt to reduce the budget deficit.
(B) The budget deficit has not caused a slowdown in economic growth.
(C) The value of the dollar declined several times in the year prior to the recent prediction of slower economic growth.
(D) Before there was a large budget deficit, predictions of slower economic growth frequently caused declines in the dollarтАЩs value.
(E) When there is a large budget deficit, other events in addition to predictions of slower economic growth sometimes trigger declines in currency value.
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Paul

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18 Apr 2004, 15:50
I will go with D on this one. D clearly says opposite of what the argument says.

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18 Apr 2004, 16:49
D it is.

X caused Y
rebuttal: Z caused Y

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18 Apr 2004, 20:51
how abt B. a. budget deficit has is not the cause of slow economic growth and b. currency decline is caused by slow economic growth , given these facts decreasing budget defict may not give desired results.
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18 Apr 2004, 20:51
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# The recent decline in the value of the dollar was triggered

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