QUESTION TEXT: Economist: A country’s trade deficit may indicate weakness
QUESTION TYPE: Method of Reasoning
CONCLUSION: Treating a trade deficit by reducing imports is like treating illness by attacking the measuring device. It doesn’t address the underlying problem.
REASONING: Trade deficits don’t cause problems, but they can indicate problems.
ANALYSIS: The author uses an analogy to make their point. It’s obvious that sticking a thermometer in water doesn’t cure sickness: it just attacks the measuring device.
Interestingly, attacking a thermometer is two steps away from the real problem. Thermometers measure fever. Fever is actually a good thing however: it is your body’s response to infection and helps to kill the invaders. The sickness is the thing you actually want to combat.
___________
- This didn’t happen.
Example of method: You say we would be better off taking the Concorde to London. But the Concorde doesn’t fly anymore, so we wouldn’t get there very quickly.
(The assumption is: we can take the Concorde.) - If you picked this, perhaps you were tempted by the word analogy. Don’t just blindly pick answers based on words: you have to think about what they mean.
Example of method: You said that buying this protective software for my home computer is as silly as taking an umbrella on a sunny day. But actually, it is often helpful to take an umbrella in the sun: it prevents sunburn, and guards against the possibility of rain. - CORRECT. Indeed. Dunking a thermometer in water won’t cure illness, and reducing the trade deficit won’t help the economy: the trade deficit is a symptom, not a cause.
- This is a different method.
Example of method: You say that this eminent scientist supports your theory. But I researched the scientist, and actually they’re a known con artist. So you have no scientific authority supporting you. - This is different.
Example of method: You say that we should take a shortcut over this bridge. But our truck is too heavy, and the bridge would collapse: killing us all.
More Resources for Method of Reasoning Questions
- Intro Course lesson: This intro course lesson covers Method of Reasoning questions.
- Mastery Seminar lesson: This LR Mastery seminar lesson covers method of reasoning questions.

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