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555-605 (Medium)|   Comparisons|                        
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pawan82
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But in this case we am compare the funded pension system v/s the pay as you go approach. Whereas in E i compare the funded pension system with the Social Security. So how does it qualify as a logical comparison?
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But in this case we am compare the funded pension system v/s the pay as you go approach. Whereas in E i compare the funded pension system with the Social Security. So how does it qualify as a logical comparison?


thats bcoz ur comparing social security system with funded pension system..........................the sentence is talking about comparing tw systems here.......................we cannot compare one system with the
the payment approach of another system.
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pawan82
But in this case we am compare the funded pension system v/s the pay as you go [b]approach. Whereas in E i compare the [/b]funded pension system with the Social Security. So how does it qualify as a logical comparison?


You are comparing a system to an approach. In order to answer this question, you must know that Social Security is a type of pension system. Therefore, E compares two systems. It is similar to comparing a cat's meow to a dog. The meow cannot be compared to the dog.
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Quote:
Unlike a funded pension system, in which contributions are invested to pay future beneficiaries, a pay-as-you-go approach is the foundation of Social Security.
(A) a pay-as-you-go approach is the foundation of Social Security
(B) the foundation of Social Security is a pay-as-you-go approach
(C) the approach of Social Security is pay-as-you-go
(D) Social Security’s approach is pay-as-you-go
(E) Social Security is founded on a pay-as-you-go approach


I think that this SC is tricky b/c at first glance you think you should be comparing X (a funded pension system) with Y (?). "A" looks good because it appears to be paralell ("a pay-as-you-go approach").

Upon reading the actual sentence and understanding your choices, you can see that A is incorrect. You must compare X (a funded pension system) with another type of system, not an approach (as explained by bimmerhype above). Therefore, Social Security (or answer E) is the best choice.
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Clearly in Social Security both S are capital, it means SS is a system or basically a NOUN.
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pawan82
Unlike a funded pension system, in which contributions are invested to pay future beneficiaries, a pay-as-you-go approach is the foundation of Social Security.
(A) a pay-as-you-go approach is the foundation of Social Security
(B) the foundation of Social Security is a pay-as-you-go approach
(C) the approach of Social Security is pay-as-you-go
(D) Social Security's approach is pay-as-you-go
(E) Social Security is founded on a pay-as-you-go approach


You're comparing pension system to Social Security, not to an approach or a foundation. That's why E is the only one that works.

Even if you do not know that Social Security is an actual system/program, notice that it doesn't say "social security" but "Social Security", which indicates that it's the title of something. And that comparison makes much more sense than to cpmpare a pension system to an approach or a foundation of something.
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Only E reveals a proper comparison between a funded pension system, a name and Social Security another name.
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pawan82
Unlike a funded pension system, in which contributions are invested to pay future beneficiaries, a pay-as-you-go approach is the foundation of Social Security.

(A) a pay-as-you-go approach is the foundation of Social Security
(B) the foundation of Social Security is a pay-as-you-go approach
(C) the approach of Social Security is pay-as-you-go
(D) Social Security's approach is pay-as-you-go
(E) Social Security is founded on a pay-as-you-go approach


The Official Guide for GMAT Review, 10th Edition, 2003

Practice Question
Question No.: SC 64
Page: 663

Hi! In this question I though approach and a system are like terms And can be compared. But obviously I was wrong. I didn't know that social security is a system. Now many students would not know this thing. So how can we tackle such questions, where knowledge is tested? AndrewN GMATNinja
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pawan82
Unlike a funded pension system, in which contributions are invested to pay future beneficiaries, a pay-as-you-go approach is the foundation of Social Security.

(A) a pay-as-you-go approach is the foundation of Social Security
(B) the foundation of Social Security is a pay-as-you-go approach
(C) the approach of Social Security is pay-as-you-go
(D) Social Security's approach is pay-as-you-go
(E) Social Security is founded on a pay-as-you-go approach


The Official Guide for GMAT Review, 10th Edition, 2003

Practice Question
Question No.: SC 64
Page: 663

Hi! In this question I though approach and a system are like terms And can be compared. But obviously I was wrong. I didn't know that social security is a system. Now many students would not know this thing. So how can we tackle such questions, where knowledge is tested? AndrewN GMATNinja
Hello, pk6969. Although an approach can be synonymous with a method or a system of doing something, we can rule out that possibility in the sentence at hand because of the adjective pension that defines the type of system in the sentence. That is, since a pension method is nonsensical, similar to saying a retirement method, we need to interpret the noun system in a different way, more akin to a program. Of course, Social Security could be thought of as another such program, making the comparison in (E) fitting.

I hope that helps. Thank you for thinking to ask.

- Andrew
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Dear Friends,

Here is a detailed explanation to this question-
pawan82
Unlike a funded pension system, in which contributions are invested to pay future beneficiaries, a pay-as-you-go approach is the foundation of Social Security.

(A) a pay-as-you-go approach is the foundation of Social Security
(B) the foundation of Social Security is a pay-as-you-go approach
(C) the approach of Social Security is pay-as-you-go
(D) Social Security's approach is pay-as-you-go
(E) Social Security is founded on a pay-as-you-go approach

Concepts tested here: Comparisons

• Comparisons must only be made between similar things.

A: Trap.
1/ This answer choice incorrectly compares "a funded pension system" to "a pay-as-you-go approach"; remember, comparisons must only be made between similar things.

B:
1/ This answer choice incorrectly compares "a funded pension system" to "the foundation of Social Security"; remember, comparisons must only be made between similar things.

C:
1/ This answer choice incorrectly compares "a funded pension system" to "the approach of Social Security"; remember, comparisons must only be made between similar things.

D:
1/ This answer choice incorrectly compares "a funded pension system" to "Social Security's approach"; remember, comparisons must only be made between similar things.

E: Correct.
1/ This answer choice correctly compares "a funded pension system" to "Social Security"; remember, comparisons must only be made between similar things.

Hence, E is the best answer choice.

All the best!
Experts' Global Team
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