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GMAT Critical Reasoning (CR) | Re: QOTD: During the 1930s, Roosevelt’s New Deal

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GMATNinja wrote:

The conclusion is that "many prominent economists of that time sided with those policymakers", implying that the economists, like the policymakers, "grew uncomfortable with the amount of power that had been given to the federal government and sought to discontinue many of the agencies created under the New Deal." How do we arrive at thatconclusion?

  • The agencies created under the New Deal were designed to administer financial relief to the country DURING an economic depression.
  • AFTER the economic depression ("in the decades following the depression"), economists and policymakers were more concerned with the amount of power those agencies had given to the federal government than with the administration of financial relief... why?
  • If the agencies administering financial relief are useful in preventing an economic depression, we wouldn't expect the economists to want to discontinue those agencies.
  • However, if those agencies are only useful in helping to end an economic depression and not necessarily in preventing a new economic depression, then the economists' desire to discontinue those agencies AFTER the depression makes sense.


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