Statement–Argument — Should young entrepreneurs be encouraged? Arguments: I) Yes; they help drive industrial development. II) Yes; they reduce pressure on salaried employment markets by creating jobs. Choose the strong argument(s).

Difficulty: Easy

Correct Answer: if both I and II are strong

Explanation:


Introduction / Context:
Entrepreneurship policy often seeks growth and employment. Both arguments speak to these canonical objectives.


Given Data / Assumptions:

  • New firms introduce products, competition, and productivity gains.
  • Startups and SMEs generate net job creation over time.
  • Support can include credit, mentorship, and regulatory ease.


Concept / Approach:
Argument I (industrial development) and II (job creation/less pressure on salaried jobs) are both directly policy-relevant. Hence both are strong.


Step-by-Step Solution:

I: Growth/productivity linkage → strong.II: Employment spillovers → strong.


Verification / Alternative check:
Many programs (incubators, credit guarantees) are built precisely on these two rationales.


Why Other Options Are Wrong:
Any single-argument choice underweights the other valid dimension.


Common Pitfalls:
Ignoring that quality of entrepreneurship support matters for outcomes.


Final Answer:
if both I and II are strong.

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