| 1 |
Many countries are facing a potential crisis in 20 to 30 years time. The ratio of pensioners to workers will be changing drastically with a declining birth rate, with more lengthy education of the young, and with a reduced working life. In general, the number of people paying into pension schemes is decreasing all the time. Meanwhile, with increased health care and living standards, more people are living long enough to draw their pension funds. A controversial solution to this problem has been proposed in Germany-changing the age of retirement, for both men and women, from the current qualifying age of 63 for men and 60 for women. A radical, but socially acceptable, solution to this problem must be found. If this is not done, it is predicted that by the year 2050, one person in three will be 65 or over and the projected work force will be unable to support pensions. Assuming the following were all socially acceptable, which one would not improve the situation in the future ?
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A. Lower the retirement age.
B. Decrease the school-leaving age.
C. Impose larger contributions on employees and employers.
D. Cut pensions in half.
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| 2 |
In the human body, platelets, promote blood clotting by clumping together. Aspirin has been found to prevent clotting by making platelets less sticky. Research has now shown that heart attacks and strokes caused by blood clots could be avoided by taking one aspirin a day. Statistics show that the incidence of second heart attacks Unfortunately, the drug has several unpleasant side effects, including nausea, gastric bleeding, and, in severe cases, shock. In children, it has been linked to Reye Syndrome, a rare, but occasionally fatal, childhood illness. One balance, however, for men aged 40 and over, an aspirin a day may present an excellent prophylactic measure for a disease that affects 1.5 million Americans yearly and claims the lives of about 540,000. Which of the following conclusions can most properly be drawn from the information above ?
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A. All people should take an aspirin a day to prevent heart attacks.
B. Painkillers prevent heart attacks.
C. Smokers can safely continue smoking, provided that they take at least one aspirin a day.
D. The majority of people suffering second subsequent cardiac arrests could have been saved by taking an aspirin a day.
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| 3 |
Most large retail stores hold sales in the month of January. The original idea of price reduction campaigns in January became popular when it was realized that sales or products would generally slow down following the Christmas rush, were it no for some incentive. The lack of demand could be solved by the simple solution of reducing prices. There is now an increasing tendency among major department stores in large urban centers to have their January sales being before Christmas, some time before the end of the calendar year. The idea behind this trend is to endeavor to sell the maximum amount of stock at a profit, even if that may not be at the maximum profit. Which of the following conclusions cannot be drawn from the above ?
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A. The incidence of early January sales results in the lower holdings of stocks with the corollary of lower stock holding costs.
B. Demand is a function of price; as you lower price, demand increases.
C. Major stores seem to think it makes sense to have to January sales campaigns pre-Christmas.
D. It is becoming less popular to star the January sales in the New Year.
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| 4 |
The states of New York, Ohio, Pennsylvania, and California provide extensive free higher education to their residents. Threes states are representative of different geographic areas of the united states. There is little reason why most states cannot provide the same service to their residents. Which of the following, it true, would weaken the above argument ?
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A. Free education is not guaranteed by the constitution.
B. New York, Ohio, Pennsylvania, and California have more qualified high school graduates than other states.
C. Most other states do not have the tax base that new york, ohio, Pennsylvania, and California have.
D. Other states do not have as many high school graduates.
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| 5 |
Ali is a terrible driver. He has had at least five traffic violations, int he past year. Which of the following can be said about the above claim ?
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A. This is an example of an argument that is directed against the source of the claim rather than the claim itself.
B. The statement is fallacious because it contains an illegitimate appeal to authority.
C. The above argument obtains its strength from a similarity of two compared situations.
D. The argument is built upon an assumption that is not stated but rather is concealed.
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| 6 |
Contrary to charges made by opponents of the new trade bill, the bill's provisions for taking action against foreign countries that place barriers against American exports, is justified. Opponents should take not that restrictive trade legislation in the 1930s succeeded in improving the U.S. trade balance even though economists were against it. The author's method of rebutting opponents of the new trade bill is to
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A. attack the patriotism of its opponents.
B. attack the opponents characters rather than their claims.
C. imply an analogy between the new trade bill and previous trade legislation.
D. suggest that economists were against both pieces, of legislation.
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| 7 |
During the incumbent president's term of office he succeeded in limiting annual increases in the defense budget by an average of 5 percent. His predecessors experienced annual increases of 8 percent. Therefore, the incumbent president should be given credit for the downturn in defense outlays. Which of the following statements, if true would most seriously weaken the above conclusion ?
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A. Some generals have claimed that the country's defense has weakened in the past year.
B. More soldiers were drafted during the former president's term of office.
C. The incumbent president advocates peaceful resolution of international disputes.
D. The average annual inflation rate during the incumbent president's term was 4 percent, while during his predecessor's term it was 10 percent
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| 8 |
Opponents of the new legislation could defend themselves against the author's strategy by arguing that:
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A. the fact that past trade legislation improved the trade balance does not mean that the present bill will do the same.
B. economists are not always right.
C. the united states had a trade deficit both in the 1930s and at the time of the new bill.
D. the new law is not as strong as the 1930s bill.
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| 9 |
The President lobbied for passage of his new trade bill which would liberalize trade with industrialized countries such as Japan, members of the European Community, and Canad. Each of the following, if true, could account for the above, except:
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A. The President is up for re-election and needs to show results.
B. Labour unions have petitioned the President to provide more local jobs.
C. The trade agreement could bring a quid pro quo on pending negotiations.
D. Economists claimed that the passage of the bill would increase the country trade deficit.
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| 10 |
If we are doomed to have local drug rehabilitation centers - and society has determined that we are - then society ought to pay for them. Which of the following, if true, would weaken the above argument ?
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A. Drug rehabilitation centers are too expensive to be locally funded.
B. Many neighborhood groups oppose rehabilitation centers.
C. Drug rehabilitation centers are expensive to maintain.
D. Drug addicts may be unwilling to receive treatment.
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