XAT 2016 Question 18
This is a detailed step-by-step solution for XAT 2016 Question 18. Understand the concept, common mistakes, and expert tips to solve similar questions in XAT exam.
XAT
Option A: It can be inferred from the last statement: "free flow of short-term capital - a key feature of market fundamentalist policies - would produce not growth but instability have also been borne out."
Option B: It can be inferred from the first line of the paragraph where the example is given.
Option C: It can be inferred from the last paragraph where the author says that the economic progress of Asian countries is difficult to understand as they did not follow the principles of the economic theory mentioned in the passage.
Option D: It can be inferred from the first paragraph: "Nor do markets, by themselves, necessarily lead to economic efficiency when the task of a country is to absorb new technology"
Option E: It cannot be inferred from the passage as the example of Asia in the last paragraph contradicts it.
Hence, the answer is option D.