1. When limitations were in effect on nuclear-arms testing, people tended to save more of their money, but when nuclear-arms testing increased, people tended to spend more of their money. The perceived threat of nuclear catastrophe, therefore, decreases the willingness of people to postpone consumption for the sake of saving money.
The argument above assumes that
A. the perceived threat of nuclear catastrophe has increased over the years.
B. most people supported the development of nuclear arms
C. people’s perception of the threat of nuclear catastrophe depends on the amount of nuclear-arms testing being done
D. the people who saved the most money when nuclear-arms testing was limited were the ones who supported such limitations
E. there are more consumer goods available when nuclear-arms testing increases
2. The federal government expects hospitals to perform 10,000 organ transplants next year. But it is doubtful that this many donor organs will be available, since the number of fatalities resulting from car and motorcycle accidents has been dropping steadily over the past decade.
The argument above makes which of the following assumptions?
(A) A significant number of the organs used in transplants come from people who die in car and motorcycle accidents.
(B) The number of car and motorcycle accidents will increase significantly during the next year.
(C) No more than 10,000 people will be in need of organ transplants during the next year.
(D) In the past the federal government’s estimates of the number of organ transplants needed during a given year have been very unreliable.
(E) For any given fatality resulting from a car or motorcycle accident, there is a hospital in the vicinity in need of an organ for a transplant.
3. Traditionally, decision-making by managers that is reasoned step-by-step has been considered preferable to intuitive decision-making. However, a recent study found that top managers used intuition significantly more than did most middle-or lower-level managers. This confirms the alternative view that intuition is actually more effective than careful, methodical reasoning.
The conclusion above is based on which of the following assumptions?
(A) Methodical, step-by-step reasoning is inappropriate for making many real-life management decisions.
(B) Top managers have the ability to use either intuitive reasoning or methodical, step-by-step reasoning in making decisions.
(C) The decisions made by middle-and lower-level managers can be made as easily by using methodical reasoning as by using intuitive reasoning.
(D) Top managers use intuitive reasoning in making the majority of their decisions.
(E) Top managers are more effective at decision-making than middle-or lower-level managers
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