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Statement: Should Government close down loss-making public sector enterprises? Arguments: I. No. All employees will lose their jobs, security and earning, what would they do? II. Yes. In a…

Question and options

Statement: Should Government close down loss-making public sector enterprises?
Arguments: I. No. All employees will lose their jobs, security and earning, what would they do?
II. Yes. In a competitive world the rule is 'survival of the fittest'.
  1. Only argument I is strong
  2. Only argument II is strong
  3. Either I or II is strong
  4. Neither I nor II is strong

Answer and explanation

Correct answer: A - Only argument I is strong
Argument I is strong because closing down public sector enterprises directly throws thousands of employees out of jobs and livelihood security; a government should first examine causes of loss and pursue reform or restructuring rather than outright closure. Argument II is weak because invoking 'survival of the fittest' is a vague cliché, not a sound policy justification. Hence, only argument I is strong.

Practice for these exams

  • CUSAT Three-Year LL.B.

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