Statement–Courses of Action (external financing for port development): The Asian Development Bank has approved a $285 million loan for coal-port projects at Paradip and Madras Port Trusts; determine which course(s) follow—(I) similarly use international financial assistance to develop such ports elsewhere, (II) avoid seeking financial assistance from international agencies—considering consistency with the stated context.
Verbal Reasoning
Course of Action
Difficulty: Medium
Choose an option
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AOnly I follows
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BOnly II follows
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CEither I or II follows
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DNeither I nor II follows
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EBoth I and II follow
Answer
Correct Answer: Only I follows
Explanation
Given data
- Statement: ADB has approved a substantial loan for specified coal-port construction.
- Course I: Extend the approach by tapping similar assistance for other suitable locations.
- Course II: Do not seek international financial assistance.
Concept / ApproachWhen a financing route is already accepted for a public-infrastructure purpose, a consistent extension (I) is reasonable, whereas a blanket rejection (II) contradicts the premise.
Step-by-step evaluationStep 1: The statement itself demonstrates the feasibility/acceptance of such funding.Step 2: Therefore, using similar avenues for appropriate projects (I) follows logically.Step 3: Course II is inconsistent with the stated action (approval already taken); it does not follow.
Verification / AlternativeProject-wise appraisal can still apply, but the category-level feasibility of such financing is established.
Common pitfalls
- Assuming one instance mandates all; here, the logic is permissive (what can be done), not prohibitive.
Final AnswerOnly I follows.