Friday, April 17, 2009

The pace of technological development

Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.

Which of the following, if true, would best support the analyst's main assertion?

A. New technology often becomes less expensive after an initial surge in sales.
B. Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.
C. Many consumers are unable to determine whether new technology is superior to current
technology.
D. Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
E. Consumers tend to be loyal to technology companies whose products they enjoy using.

Thursday, April 16, 2009

Novex

Advertisement: For sinus pain, three out of four hospitals give their patients Novex. So when you want the most effective painkiller for sinus pain, Novex is the one to choose.

Which of the following, if true, most seriously undermines the advertisement’s argument?

(A) Some competing brands of painkillers are intended to reduce other kinds of pain in addition to sinus pain.
(B) Many hospitals that do not usually use Novex will do so for those patients who cannot tolerate the drug the hospitals usually use.
(C) Many drug manufacturers increase sales of their products to hospitals by selling these products to the hospitals at the lowest price the manufacturers can afford.
(D) Unlike some competing brands of painkillers, Novex is available from pharmacies without a doctor’s prescription.
(E) In clinical trials Novex has been found more effective than competing brands of painkillers that have been on the market longer than Novex.

A gift

is not generous unless it is intended to benefit the recipient and is worth more than what is expected or customary in the situation; a gift is selfish if it is given to benefit the giver or is less valuable than is customary.

Which one of the following judgments most closely conforms to the principle above?

(A) Charles, who hates opera, was given two expensive tickets to the opera. He in turn gave them to his cousin, who loves opera, as a birthday gift. Charles’s gift was selfish because he paid nothing for the tickets.

(B) Emily gives her brother a year’s membership in a health club. She thinks that this will allow
her brother to get the exercise he needs. However, the gift is selfish because Emily’s
brother is hurt and offended by it.

(C) Amanda gives each of her clients an expensive bottle of wine every year. Amanda’s gifts are
generous, since they cause the clients to continue giving Amanda business.

(D) Olga gives her daughter a computer as a graduation gift. Since this is the gift that all
children in Olga’s family receive for graduation, it is not generous.

(E) Michael gave his nephew $50 as a birthday gift, more than he had ever given before.
Michael’s nephew, however, lost the money. Therefore, Michael’s gift was not generous
because it did not benefit the recipient.

Tropical oils

Consumer advocate: Tropical oils are high in saturated fats, which increase the risk of heart disease. Fortunately, in most prepared food tropical oils can be replaced by healthier alternatives without noticeably affecting taste. Therefore, intensive publicity about the disadvantage of tropical oils will be likely to result in dietary changes that will diminish many people’s risk of developing heart disease.

Nutritionist:
The major sources of saturated fat in the average North American diet are meat, poultry, and dairy products, not tropical oils. Thus, focusing attention on the health hazards of tropical oils would be counterproductive, because it would encourage people to believe that more substantial dietary changes are unnecessary.

Which one of the following is a point at issue between the nutritionist and the consumer advocate?

(A) Whether a diet that regularly includes large quantities of tropical oil can increase the risk of heart disease.
(B) Whether intensive publicity campaigns can be effective as means of changing people’s eating habits.
(C) Whether more people in North American would benefit from reducing the amount of meat they consume than would benefit from eliminating tropical oils from their diets.
(D) Whether some people’s diets could be made significantly healthier if they replaced all tropical oils with vegetable oils that are significantly lower in saturated fat.
(E) Whether conducting a publicity campaign that by focusing on the health hazards of tropical oils persuades people to replace such oils with healthier alternatives is a good public-health strategy.

Video Recorder

Six months or so after getting a video recorder, many early buyers apparently lost interest in obtaining videos to watch on it. The trade of businesses selling and renting videos is still buoyant, because the number of homes with video recorders is still growing. But clearly, once the market for video recorders is saturated, businesses distributing videos face hard times.

Which of the following, if true, would most seriously weaken the conclusion above?

(A) The market for video recorders would not be considered saturated until there was one in 80 percent of homes.
(B) Among the items handled by video distributors are many films specifically produced as video features.
(C) Few of the early buyers of video recorders raised any complaints about performance aspects of the new product.
(D) The early buyers of a novel product are always people who are quick to acquire novelties, but also often as quick to tire of them.
(E) In a shrinking market, competition always intensifies and marginal businesses fail.