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LSAT-13-4-11【indebtedness causes recession】

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楼主
发表于 2004-8-2 15:50:00 | 只看该作者

LSAT-13-4-11【indebtedness causes recession】

Household indebtedness, which some theorists regard as causing recession, was high preceding the recent recession, but so was the value of assets owned by households. Admittedly, if most of the assets were owned by quite affluent households, and most of the debt was owed by low-income households, high household debt levels could have been the cause of the recession despite high asset values: low-income households might have decreased spending in order to pay off debts while the quite affluent ones might simply have failed to increase spending. But, in fact, quite affluent people must have owed most of the household debt, since money is not lent to those without assets. Therefore, the real cause must lie elsewhere.


11.   Which one of the following, if true, casts the most doubt on the argument?

(A) Prior to the recent recession, middle-income households owed enough debt that they had begun to decrease spending.

(B) The total value of the economy’s household debt is exceeded by the total value of assets held by households.

(C) Low-income households somewhat decreased their spending during the recent recession.

(D) During a recession the affluent usually borrow money only in order to purchase assets.

(E) Household debt is the category of debt least likely to affect the economy.



the key's A.


不懂第一句话里面的was high preceding the recent recession是什么意思?是说indebtedeness和assets value都发生在recession之前吗?


沙发
发表于 2004-8-2 20:14:00 | 只看该作者
sure
板凳
 楼主| 发表于 2004-8-2 21:52:00 | 只看该作者
but so was the value of assets owned by households是什么意思呢?assets价值也发生在经济衰退之前?什么意思?
地板
发表于 2004-8-2 21:55:00 | 只看该作者

LSAT-13-4-11【indebtedness causes recession】

原文说recession前资产和负债都高

5#
发表于 2019-8-2 22:45:02 | 只看该作者
pocahontas 发表于 2004-8-2 15:50
Household indebtedness, which some theorists regard as causing recession, was high preceding the rec ...

Spot the question type: Weaken

Core of the argument:

Most of the household debts belongs to rich people, and they don't increase spending, and low income people does not own any assets debts, so their decreasing spending is not owe to " the debit of household, since they do need to have assets to be lent the money to. Thus, real cause of the the recession must not be the high household debt.

Ok, so the necessary assumption could be predicted as

1. Beside rich and poor, there are no any one carry household debts and decrease their spending power.

A, perfect answer as the negate of the necessary assumption
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