CAT Critical Reasoning Practice question with Solution 71

QUESTION
Economic considerations color every aspect of international dealings, and nations are just like individuals in that the lender sets the terms of its dealings with the borrower. That is why a nation that owes money to another nation cannot be world leader.

The reasoning in the passage assumes which one of the following?

OPTIONS
[A]. A nation that does not lend to any other nation cannot be a world leader.
[B]. A nation that can set the terms of its dealings with other nations is certain to be a world leader.
[C]. A nation that has the terms of its dealings with another action set by that nation cannot be a world leader.
[D]. A nation that is a world leader can borrow from another nation as long as that other nation does not set the terms of the dealings between the two nations.
[E]. A nation that has no dealings with any other nation cannot be world leader.
Answer: C
Explanation:

“World leader” is an idea that only appears in the conclusion; we need an assumption that connects that idea with the terms or ideas in the evidence of the first sentence. (C) makes that connection: If a nation can’t be a world leader when it has the terms of its dealings with another nation set by that other nation, then it’s true that a borrower nation (because it has terms set by the lender nation) can’t be a world leader. Add (C) and the argument flows smoothly; that is, the conclusion follows perfectly from the evidence if (C) is added to the mix. Deny (C) and the argument falls apart.

(A) According to the stimulus borrowers can’t be leaders, but for that to be true, we don’t have to assume that leaders have to be lenders; a leader might follow Polonius’ advice and neither a borrower nor a lender be.

(B) confuses what is necessary with what is sufficient. Just because it is necessary that world leaders do not have the terms of their dealing set by other nations, the argument needn’t assume that setting the terms of dealings with other nations is sufficient for a nation to be a world leader.

(D) actually contradicts the stimulus, which says that lender nations set the terms of dealings with borrower nations; stated that way means this is always the case—no exceptions. No choice that contradicts the stimulus can be an assumption.

(E) certainly sounds reasonable, but that doesn’t mean it’s assumed by the argument. If you deny (E), and say that such an isolationist nation can be a world leader, you don’t hurt the conclusion that a borrower nation can’t be a world leader.


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