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An industries officer studied the fifty small units that have worked without a break for twenty years in the district's industrial estate and found that forty-six of them had never taken a loan. He concludes that keeping clear of borrowing is what keeps a small unit alive. Which of the following, if true, most weakens the officer's conclusion?

Competition practiceLogical / Critical
  • AOf the units in the estate that shut down during those twenty years — a register the officer did not consult — very nearly the same share had never taken a loan
  • BTwo of the fifty units have changed hands during the twenty years
  • CThe estate was laid out by the state industries department in the year the twenty years began
  • DLoans to small units in the district are given by three banks and one cooperative society

Step-by-Step Solution

A habit said to keep units alive must be commoner among those that lived than among those that died, and the officer has looked only at the living. If the units that closed were just as free of borrowing, the habit divides nobody from nobody and the forty-six merely tell us that few units in the estate borrow at all. A change of ownership in two units, the year the estate was laid out and the number of lenders in the district leave the missing half of the evidence exactly as missing.
Answer: A) Of the units in the estate that shut down during those twenty years — a register the officer did not consult — very nearly the same share had never taken a loan

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