Relationship between inflation statements
XAT 2017 · VALR · Medium · Verbal Ability
Two statements are provided below. Decide which of the given options presents the most appropriate relationship between the two:
Statement I: The current trend indicates that food and vegetable inflation continues to be a pain point. Food inflation rose to 7.79% in June from 7.47%, and vegetable inflation rose to 14.74% from 10.85%. In the weeks ahead, the volatile food inflation will determine the course of overall inflation.
Statement II: For RBI too, the trend is a concern since under the current agreement with the government, if the inflation exceeds 2%, it'll have to explain to the government why it could not be contained (the lower limit is 2%).
- A.
The first paragraph states a cause and the second illustrates its effect
- B.
The first paragraph provides information and the second highlights potential application of the information
- C.
The first paragraph is an assertion and the second provides an illustration of that assertion
- D.
The first paragraph highlights inflation conditions and the second hints at RBI's inefficiency in managing the situation
- E.
The first paragraph highlights pain points and the second contains a remedy for them
Practise this under exam conditions
Sign in to solve it with a live timer, the on-screen CAT calculator, and streak and accuracy tracking across every question you attempt.
Solve in the workspace