The question given below consists of a statement,followed by two arguments numbered I and II. You have to decide which of the arguments is a 'strong' argument and which is a 'weak' argument. Give answer
(a) if only argument I is strong,
(b) if only argument II is strong,
(c) if either I or II is strong,
(d) if neither I nor II is strong and
(e) if both I and II are strong.
Statement: Should there be only one rate of interest for term deposits of varying durations in banks?
Arguments: I. No. People will refrain from keeping money for longer duration resulting into reduction of liquidity level of banks.
II. Yes. This will be much simple for the common people and they may be encouraged to keep more money in banks.

Options

A. if only argument I is strong
B. if only argument II is strong
C. if either I or II is strong
D. if neither I nor II is strong

Answer

A

Explanation

I predicts a negative effect, II is predicting a result which may or may not follow.