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kk_del

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The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a droip in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.

Which of the following is an assumption on which the argument depends?

  • The number of television assemblers in Vernland has increased by at least as much as the number of television assemblers in Borodia has decreased.
  • Televisions assembled in Vernland have features that televisions assembled in Borodia do not have.
  • The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
  • The number of televisions assembled annually in Vernland has increased significantly during the past three years.
  • The difference between the hourly wage of television assemblers in Vernland and the hourly wage of television assemblers in Borodia is likely to decrease in the next few years.

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KK,, I went for 'A' initially ,,, but wasn't satisfied ... If we see option 'C' it talks about the productivity of the assemblers ( that it hasn't increased substantially ) ...

 

Had the productivity increased substantially, then lesser number of assemblers in Borodia would have assmbled the same number of televisions. So there really wouldn't be a case for increaed imports from Vernland.

 

Hope i didn't make it more confusing ..

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D..!!

 

KK.. heres the reasoning...given that the number of assemblers in Bor has decreased and given that the sales have remained constant, it assumes that the number of imports in the stats is MOST likely to show an increase...which means tht the Vernland assemblers have produced more TV sets.

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c it is

 

if demand has not changed in B and number of assemnblers have reduced in B then there are only options either remaining assemblers are producing more and fullfilling the demand becasue of reduced assemblers or V sells more to B.

Conclusion is V sells more to B. which means remaining assemblers are not able to increase thier production. one way to increase production is reduce production time( increase production rate)

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  • 1 month later...

C it is!

 

Explanation:

 

The number of televisions sold in Borodia has not changed.

Also, there is a drop in the number of television assemblers in Borodia.

 

If C is not true, it is possible that the no. of televisions imported from

Vernland has NOT changed. And the loss in the number of televisions assembled because of the decrease in the no. of assemblers in Borodia is made up by the increased efficiency of the assemblers who still remain in Borodia.

 

So, if we say that the import has increased, we assume C,i.e.,that the efficiency of the assemblers in borodia has not increased!

 

Hope it helps!

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KK Del- You are right we are focusing on a small part of the argument, but the author wants you to do that. There are a few factors why products would be exported from one country and imported in another. Two of those factors labor costs and taxes are mentioned in the argument for the purpose of eliminating them from your thoughts in coming to an answer. This is evident in the middle of the argument when Borodia is still selling the same number of TVs despite the probable possibility that they are cheaper in Verlandia. The focus of the argument is on the productivity of workers which would make sense to decrease proportionate to the decrease in workers. So when Borodia does not increase imports to maintain productivity something is occurring within that country to cover the slack. So two assumptions come to mind, one being maybe demand has decreased in that country and there is no need for imports or as C says less workers are more productive.
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IMO C

 

Bit complicated . Analyse by segments

 

Each sentence is dis-associated . Now connect it all to make it sensible .

 

Average wage for V assemblers decreased.B assemblers in B is decreased. Import is more in B . But ,TOTAL TV SOLD REMAINS CONSANT

 

How ?

 

Import +in house Tv = Total TV sold yearly

 

X+Y = Z

 

The scenario mentioned :

 

(X)Import is high ,(Y) in house B assemblers decreased(so the remaining assemblers work on a average the same or more) = Total TV Sold Yearly(Z) .

 

The assumption Y is stated in the chioce C

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  • 10 months later...

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