Statement & Argument — Should proliferation of credit cards be restricted in the country? Arguments: I. Yes; easy access to revolving credit encourages overspending and indebtedness among consumers. II. No; credit cards merely make the holder “high-tech.”
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Aif only argument I is strong
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Bif only argument II is strong
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Cif either I or II is strong
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Dif neither I nor II is strong
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ENone of these
Answer
Correct Answer: if only argument I is strong
Explanation
Introduction / Context:Consumer-credit expansion has benefits (convenience, cashless economy) and risks (debt traps). Strong arguments should relate to financial-stability or consumer-protection outcomes, not superficial attributes.
Given Data / Assumptions:
- Credit cards provide revolving credit, minimum-due traps, and high interest if misused.
- Financial literacy levels vary; aggressive marketing can drive imprudent borrowing.
Concept / Approach:Argument I is strong: it references behavioral and structural risks that justify considering restrictions or safeguards (KYC, credit limits, disclosure). Argument II is weak: “being high-tech” is irrelevant to the policy question and offers no welfare-related reason to avoid restrictions.
Step-by-Step Solution:I: Identifies concrete harm pathways—strong.II: Non-sequitur; technology image is not a policy criterion—weak.
Final Answer:Only Argument I is strong.