Question
What can be inferred about China's economic model from the passage?
Answer: Option D
:
D
While exports are not mentioned specifically in the passage, it can be inferred that in the absence of domestic spending, investments will spur an industrial infrastructure that willchurn out goods for exports. The author also says that China needs reforms to spread purchasing power. This means that the purchasing power is unevenly spread at present with a few people doing most of the spending and the others not being able to do so. Option B is just the opposite of what the author says.
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:
D
While exports are not mentioned specifically in the passage, it can be inferred that in the absence of domestic spending, investments will spur an industrial infrastructure that willchurn out goods for exports. The author also says that China needs reforms to spread purchasing power. This means that the purchasing power is unevenly spread at present with a few people doing most of the spending and the others not being able to do so. Option B is just the opposite of what the author says.
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