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PT28 LR S1 #20

Posted: Wed Apr 06, 2011 3:04 pm
by jim-green
Has anyone done PT28 LR S1 #20? What makes ans A correct?

Re: PT28 LR S1 #20

Posted: Wed Apr 06, 2011 3:18 pm
by Sh@keNb@ke
jim-green wrote:Has anyone done PT28 LR S1 #20? What makes ans A correct?
W --> PC (Weak --> Prices constant)
W --> UR (Weak --> Unemployment rises)
UR --> ID (Unemployment Rises --> Investment Decreases)

Conclusion: Investment does not decrease.

By negating this you get ~ID --> ~UR --> ~W

(A) States that the economy is weak or investment is decreasing, but we know from our negation that investment is NOT decreasing therefore we can deduct that the economy is NOT weak. (A) is not a possibility and must be false.

Re: PT28 LR S1 #20

Posted: Wed Apr 06, 2011 3:41 pm
by jim-green
Sh@keNb@ke wrote:(A) is not a possibility and must be false.
Thanks!