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Walters and Kostamo agree that the neighboring country’s GNP increased by a higher percentage; they dispute which measure gives the proper comparison of economic prosperity.
• Walters’ position: Because the neighbor’s percentage increase is higher, their economic prosperity increased relative to ours. This implies that he thinks comparing percentage changes is the appropriate measure.
• Kostamo’s position: Even though the neighbor’s percentage increase was higher, our country’s absolute (dollar) increase in GNP was larger. Thus, he implies that percentage change is not the best or only measure of relative economic prosperity.

They disagree about whether the appropriate way to measure the change in economic prosperity between the two countries is to compare percentage increases of GNP rather than absolute (dollar) increases.

Thus, the disagreement is captured by answer choice A.
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Walters talks about the percentage change GNP
Kostamo talks about the absolute value change in GNP
They disagree on the interpretation of the comparison.


A. change in the economic prosperity of the neighboring country relative to their country is accurately measured by comparing their percentage changes in GNP..... Correct...W talks about percentage change and K talks about absolute change. So, they are disagreeing over this

B. change in the economic prosperity of the neighboring country is more accurately measured in terms relative to their country than in terms relative only to the neighboring country......This isn't something they are disagreeing over.

C. changes in the GNP of the neighboring country should ever be compared to changes in the GNP of their country...... No

D. there were any improvements at all in the economic situation of the neighboring country during the ten years being considered......Out of Scope

E. the GNP of the neighboring country increased by a greater percentage over the last decade than did the GNP of their country.......Out of Scope

Answer: A
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Walters compares the percentage increase in GNP of both countries, claiming that the neighboring country’s economic prosperity increased relative to theirs. Kostamo argues that while the percentage increase might be higher for the neighbor, the absolute increase in GNP for their country is greater.

Let's break down the options:

A. Change in the economic prosperity of the neighboring country relative to their country is accurately measured by comparing their percentage changes in GNP.
- Walters supports this by comparing percentage changes in GNP. Kostamo disagrees, suggesting absolute values are more important.
- Correct✅.

B. Change in the economic prosperity of the neighboring country is more accurately measured in terms relative to their country than in terms relative only to the neighboring country.
- This is not the core of their disagreement. They are arguing about absolute vs. percentage change, not relative measurement.
- Not correct❌.

C. Changes in the GNP of the neighboring country should ever be compared to changes in the GNP of their country.
- They are not disagreeing about whether comparisons should be made, but about how to measure the changes.
- Not correct❌.

D. There were any improvements at all in the economic situation of the neighboring country during the ten years being considered.
- This is not addressed in the conversation. Both agree there was change, just different types of change.
- Not correct❌.

E. The GNP of the neighboring country increased by a greater percentage over the last decade than did the GNP of their country.
- Walters makes this statement, but Kostamo is focused on the absolute GNP increase, not the percentage comparison.
- Not correct❌.

Answer: A (Change in the economic prosperity of the neighboring country relative to their country is accurately measured by comparing their percentage changes in GNP).


Bunuel
Walters: Our neighboring country had a much higher percentage increase in GNP (Gross National Product) over the last ten years than our country did. So, their economic prosperity increased relative to ours.

Kostamo: I disagree. The GNP of our neighbor might have increased by a greater percentage, but the absolute amount of the increase in GNP was certainly greater for our country.

Walters and Kostamo disagree about whether

A. change in the economic prosperity of the neighboring country relative to their country is accurately measured by comparing their percentage changes in GNP

B. change in the economic prosperity of the neighboring country is more accurately measured in terms relative to their country than in terms relative only to the neighboring country

C. changes in the GNP of the neighboring country should ever be compared to changes in the GNP of their country

D. there were any improvements at all in the economic situation of the neighboring country during the ten years being considered

E. the GNP of the neighboring country increased by a greater percentage over the last decade than did the GNP of their country


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Bunuel
Walters: Our neighboring country had a much higher percentage increase in GNP (Gross National Product) over the last ten years than our country did. So, their economic prosperity increased relative to ours.

Kostamo: I disagree. The GNP of our neighbor might have increased by a greater percentage, but the absolute amount of the increase in GNP was certainly greater for our country.

Walters and Kostamo disagree about whether

A. change in the economic prosperity of the neighboring country relative to their country is accurately measured by comparing their percentage changes in GNP

B. change in the economic prosperity of the neighboring country is more accurately measured in terms relative to their country than in terms relative only to the neighboring country

C. changes in the GNP of the neighboring country should ever be compared to changes in the GNP of their country

D. there were any improvements at all in the economic situation of the neighboring country during the ten years being considered

E. the GNP of the neighboring country increased by a greater percentage over the last decade than did the GNP of their country


Official Explanation

The best answer is A.

This is a point of contention question. Kostamo states that she disagrees and then gives the reason for her disagreement, which is that there is a difference between a per cent increase and an increase in absolute amount. In other words, if the speaker’s country had a significantly larger GNP than its neighbouring country at the beginning of the time in question, it is plausible that the neighbouring country’s GNP could grow by a much larger percentage but still be much smaller than the speakers’ country.
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