PrepTest 93+, Section 2, Question 4

Difficulty: 
Passage
Game

Economist: Our country needs as much capital as possible from overseas investors in order to sustain our economy. Hence, we cannot afford any reduction in the amount of capital that overseas investors have invested here. Therefore, to sustain our economy, we should pass laws making it much more difficult for overseas investors to remove their capital.

Economist: Our country needs as much capital as possible from overseas investors in order to sustain our economy. Hence, we cannot afford any reduction in the amount of capital that overseas investors have invested here. Therefore, to sustain our economy, we should pass laws making it much more difficult for overseas investors to remove their capital.

Economist: Our country needs as much capital as possible from overseas investors in order to sustain our economy. Hence, we cannot afford any reduction in the amount of capital that overseas investors have invested here. Therefore, to sustain our economy, we should pass laws making it much more difficult for overseas investors to remove their capital.

Economist: Our country needs as much capital as possible from overseas investors in order to sustain our economy. Hence, we cannot afford any reduction in the amount of capital that overseas investors have invested here. Therefore, to sustain our economy, we should pass laws making it much more difficult for overseas investors to remove their capital.

Question
4

Which one of the following, if true, most weakens the economist's reasoning?

To sustain its economy, the country needs to diversify its investments more evenly across the country's industries.

Laws that would make it more difficult for overseas investors to remove their capital would strongly discourage them from investing any additional capital.

The historical periods during which the country's economy had the highest rate of growth were those periods during which the amount of capital invested by overseas investors was highest.

In countries other than the economist's, passage of laws that made it very difficult for overseas investors to remove their capital have not entirely prevented the removal of capital invested by overseas investors.

Two years ago, the country enacted laws that place some restrictions on the removal of capital by overseas investors.

B
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