Logical reasoning PrepTest 149 · Section 3 · Question 11

Incorrect. Gabriella notes that raised interest rates caused less borrowing, which caused less spending. She brings this up as a cause of the economic slowdown, not an effect. Additionally, Ivan doesn't discuss spending.

Incorrect. Ivan states this. However, while Gabriella blames the recent slowdown on the government's policies, that doesn't preclude her from believing that her country's economy is also tied to the global economy. (In that case, it's possible that the government's actions caused a global slowdown.)

Incorrect. Gabriella believes this answer, but Ivan doesn't discuss borrowing so it's out of scope of his argument.

Correct. Argument or Facts:
Argument/Argument

Valid or Flawed:
Flawed/Flawed

Question Type:
Point at Issue

Stimulus Summary:
G: The government raising interest rates caused less borrowing caused less spending caused a slowed economy.

I: The country's economy moves with the global economy, which has slowed, so the government raising interest rates didn't slow the economy.

Answer Anticipation:
Gabriella and Ivan are both bringing up explanations for the slowdown in the country's economy, which they both agree has happened.

Gabriella blames it on the government raising interest rates, setting off a causal chain that resulted in the economic slowdown. Ivan, on the other hand, believes that the global economic downturn is responsible for the slowdown in the country. This different root cause of the country's economic downturn is likely to be the correct answer.

Interestingly, Gabriella doesn't discuss the global economy, and Ivan doesn't discuss the country's interest rates, though he implies that he accepts the government raised them in concluding that "the government's action" wasn't the cause of the slowdown.

Answer Explanation:
Gabriella blames the slowdown on the government's action (raising interest rates), whereas Ivan disagrees and blames the global downturn. Therefore, Gabriella agrees with this answer while Ivan doesn't, so this is the point at issue between them.

Key Takeaway:
Compare the premises and conclusions of the two speakers to see where the primary point at issue is between them!

Incorrect. Ivan relies on this being true, but Gabriella doesn't discuss the global economy, so this answer is out of scope of her argument.