When news periodicals begin forecasting a recession, people

Question

When news periodicals begin forecasting a recession, people tend to spend less money on discretionary purchases. Therefore, the perceived threat of recession decreases the willingness of people to purchase products that they regard as optional or luxury goods.

The argument above assumes that _

(A) there are more luxury goods available after a recession is forecast
(B) recently, the threat of recession has been increasingly publicized as news periodicals have grown more pervasive
(C) most people do not regularly read news periodicals
(D) people's perception of the threat of recession increases when news periodicals begin forecasting a recession
(E) the people who spent the most money before a recession was forecast were among those who curtailed their spending after the recession became apparent

LalaB · Answer

D. I"have negated to get the answ D

soul123 · Answer

I will also go for D. reasoning it says that people perception about recession increases when some article gets published in newspaper.

Thanks
Soul!!

vix · Answer

One of the rare Assumption question that I got right...D!

Marcab · Answer

yeah on negating i got D.
but can u plz explain wats wrong with E

GMATD11 · Answer

E) Conclusion is talking about perception but E) --is talking about apparent recession

kraizada84 · Answer

E has vide scope hence not correct whereas D is the only best contender here

rajeevrks27 · Answer

Cause and effect relationship. when X occurs , y occurs.
D is d correct answer

navi19 · Answer

fell for E... Got confused btw D and E... D sounded more that something that follows the argument... Since assumptions are made before the argument.. I felt D was wrong.. Forgot to use the negation on D...

vdbhamare · Answer

IMO D...............

E talks of apparent threat and not of percieved threat

slay3r · Answer

The only assumption that links both the statements is Option D.

mayankdharwal · Answer

my take option D
as Only after the news periodical people stopped sending on luxury items

nishantmehra01 · Answer

A. There could be more luxury goods available after a forecast because people are not spending on them. But it doesnt link how periodicals affect the result
B. When news periodicals have gone pervasive it is possible that they can affect public opinion and when they write about recession it is taken as true and people behave accordingly. But why recently? This cast a doubt, if it could be an assumption
c. Not at all, if people dont read them, then how can they affect public opinion and hence the conclusion which followed.
D. This can be true, it is assuming importance of news periodicals and their affect on perception 
E. This cant be true because it doesnt give any importance to periodicals to change perception.

My choice is D.

But I am still not sure why cant it be B, even though, I have given my own explanation for it. Pls give more clarification

rajechP · Answer

Need help on this.

Is D not a rephrasing of the argument?

Why can't answer be B? It connects the gap between THREAT and the source- PERIODICALS.

Why can't answer be E? This option acts as a evidence that prior to this, people did curtail their spending after recession.

plumber250 · Answer

HI Rajech,

Let me see if I can help -

D is actually not re-stating. Read carefeully, the answer never actually say that there is a link.

Both B&E pre-suppose that link. So without D, neither of them make sense.

Does that help?

james

rajechP · Answer

Thanks James,

OK. I got it. Outside the scope of this question, I ask you, if an option is a rephrase of the argument, it is not an assumption. Right?

Do you mean to say that B & E are not necessary assumption, while D is?

BillyZ · Answer

Manhattan 6th Edition revised the above topic.

When news periodicals begin forecasting a recession, people tend to spend less money on nonessential purchases. Therefore, the perceived threat of a future recession decreases the willingness of people to purchase products that they regard as optional or luxury goods.

Which of the following is an assumption on which the argument depends?

(A) People do not always agree as to which goods should be considered luxury goods.
(B) Many more people read news periodicals today than five years ago.
(C) Most people do not regularly read news periodicals.
(D) Decreased spending on nonessential goods does not prompt news periodicals to forecast a recession.
(E) At least some of the biggest spending consumers prior to the recession were among those who curtailed their spending after the recession began

spradhan · Answer

For the revised version, the correct option IMO is D....cause & effect relation..

sahilkak · Answer

can anyone explain why A is not the correct answer here

KAKA1683 · Answer

I got the right answer but I took 4 minutes.

When news periodicals begin forecasting a recession, people

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When news periodicals begin forecasting a recession, people

Prep Toolkit

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