Critics insist that government regulation of business has made it more

Question

Critics insist that government regulation of business has made it more difficult for American businesses to operate profitably and has destroyed their ability to compete with foreign producers of consumer goods. This argument is not compelling. Government regulation of business was never as active in this nation as it was between the years 1975 and 1985, and in those years the average net worth of American families increased more than it had in any previous decade.

The author’s argument would be most seriously weakened if it were true that

A. Eighty percent of all businesses started during the decade 1975–1985 lost money in their first year of operation.

B. More businesses declared bankruptcy during the period 1975–1985 than in any previous decade.

C. During the decade 1975–1985, America imported more consumer goods than it exported.

D. The increase in net worth of average American families during the years 1975–1985 was largely due to an increase in the value of residential homes.

E. The average interest rate charged on business and home mortgage loans was higher during the decade 1975–1985 than it had been in any previous decade.

subhashghosh · Answer

A. Eighty percent of all businesses started during the decade 1975–1985 lost money in their first year of operation.  Irrelevant. 
B. More businesses declared bankruptcy during the period 1975–1985 than in any previous decade.  Irrelevant.

C. During the decade 1975–1985, America imported more consumer goods than it exported.  Irrelevant. 
D. The increase in net worth of average American families during the years 1975–1985 was largely due to an increase in the value of residential homes.  Correct answer as this one provides a different explanation. 
E. The average interest rate charged on business and home mortgage loans was higher during the decade 1975–1985 than it had been in any previous decade.  Irrelevant.

mourinhogmat1 · Answer

I went with D as well as it attacks the conclusion/argument rather than the premise. C was pretty close because it seemed to suggest that Americans imported more because they were unable to compete internally. But that would have been a stretch of the statements. The rest were just irrelevant.

iwillcrackgmat · Answer

can anyone explain clearly why B is not correct

Chembeti · Answer

Our task is to weaken the author's argument not to support critics argument. If it were the later, B would be the correct answer.

Now, as per our task, we need to prove either
- there is some other reason why avg net worth has increased OR
- business people are just a portion of the group that the author is referring to (i.e., critics are talking about apples where as authors is talking about fruits in general)

Given this, D is the correct answer because that clearly says there is some other reason for the net worth increase.

kraizada84 · Answer

D directly weakens the authors argument whereas B is irrelevant. 
Author says X
Critics says Y
where as B says something A (neither relevant to X or Y)

mbaprep2016 · Answer

for the event in past 
X led to Y will be weaken if we provide another reason Z led to Y 
A and Z are the premise and Y is conclusion in the argument

alpham · Answer

Please reformat this question, it is hard to follow. Also, on the real GMAT will they try to throw in author's viewpoint and another irrelevant viewpoint? I have my doubts..

gvij2017 · Answer

Can someone elaborate a little bit why B is wrong?

More business underwent bankrupt in decade 1975-85 than in any other previous years when govt regulation were more stringent. 
Is it more that caused to strike off option B? 
 Argument says that Govt regulations hurt American business profitability is not compelling. 
And we have to weaken the argument. 
I think B is also correct.

I understand that D gives a different explanation/reason for higher average net worth of Americans families, but it seems disconnected with American business.

jsam98 · Answer

is supporting critics argument inherently weakens authors argument ?

Critics insist that government regulation of business has made it more

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Critics insist that government regulation of business has made it more

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