Reading Comprehension Question for CAT (Basic - 2)

Read the following passage and answer the questions that follow:

Read the following passage and answer the questions that follow: 

Globalization has significantly transformed developing economies, offering both opportunities and challenges. On one hand, it has opened doors for economic growth by enabling access to global markets, advanced technology, and foreign investments. Many developing countries have benefited from increased trade, improved infrastructure, and job creation, leading to a rise in their overall standard of living.

One of the biggest advantages of globalization is the entry of multinational companies into developing economies. These companies bring investment, create employment, and introduce modern business practices. Additionally, global trade allows local industries to expand beyond domestic markets, boosting production and competitiveness. Countries like India, China, and Vietnam have experienced rapid economic growth due to their integration into the global economy.

However, globalization also comes with challenges. Small and local businesses often struggle to compete with large multinational corporations, leading to job losses and income inequality. Moreover, heavy dependence on foreign investments can make developing economies vulnerable to global financial crises. Another concern is the exploitation of labor, where workers in developing countries are sometimes underpaid and work in poor conditions to keep costs low for global companies.

Despite these challenges, globalization remains a powerful force driving economic development. To maximize its benefits, developing economies must implement policies that promote fair trade, support local industries, and ensure ethical labor practices. By balancing growth with sustainability, these nations can harness globalization’s potential while protecting their economies from its risks.

Q.1 Which of the following, if true, would weaken the claims made in the passage?

a.Foreign investments have led to technological advancements and infrastructure improvements in developing nations.

b.Countries that limit globalization have seen greater economic stability and reduced dependency on foreign investments.

c.Multinational corporations have played a crucial role in improving the standard of living in developing countries.

d.Global trade has increased employment opportunities in developing economies.

Q.2 Which of the following, if true, would further support the claims made in the passage?

a.Some developing nations have completely banned globalization and have still achieved self-sufficiency.

b.Many developing nations impose restrictions on foreign companies, leading to decreased foreign investments and slower economic growth.

c.A study shows that countries integrating with the global economy experience higher GDP growth and better infrastructure development.

d.Local businesses in developing countries are more successful than multinational corporations in global markets.

Q.3 What is the central argument of the passage?

a.While globalization offers economic growth opportunities to developing economies, it also presents challenges such as income inequality and labor exploitation.

b.The primary impact of globalization is cultural exchange rather than economic development.

c.Developing countries should avoid globalization because it benefits only multinational corporations and not local industries.

d.Globalization has only brought challenges for developing economies, making them dependent on foreign investments.

Q.4 Which of the following can be logically inferred from the passage?

a.Globalization has eliminated all economic struggles for developing nations.

b.Countries that do not engage in globalization can still achieve rapid economic growth.

c.Developing economies can benefit from globalization, but they need strong policies to avoid its negative effects.

d.The rise of multinational corporations has only harmed local industries in developing countries.

Read the following passage and answer the questions that follow: 

Every day, people make countless decisions, from simple choices like what to eat to complex ones like career moves. But what drives these decisions? The field of psychology reveals that decision-making is influenced by both rational thinking and subconscious biases.

One key factor in decision-making is heuristics, or mental shortcuts. While heuristics help people make quick choices, they can also lead to errors. For example, the availability heuristic makes people judge the likelihood of an event based on how easily they remember similar instances. This is why people may overestimate the danger of plane crashes after hearing about one in the news, even though flying is statistically safer than driving.

Emotions also play a major role. Studies show that people in a positive mood tend to take more risks, while those experiencing fear or anxiety become overly cautious. Additionally, loss aversion—the idea that people fear losing something more than they value gaining something—affects financial and personal decisions. This explains why many people hesitate to sell a declining stock, hoping it will recover, even when logic suggests otherwise.

Social influence further shapes decisions. The bandwagon effect leads people to follow popular trends, even if they conflict with their personal beliefs. Similarly, confirmation bias makes individuals favor information that aligns with their preexisting views, reducing their ability to make objective choices.

Understanding these psychological influences can improve decision-making. By recognizing biases and balancing logic with emotions, people can make more informed and rational choices in both personal and professional life.

Q.5 What is the central idea of the passage?

a.Decision-making is influenced by cognitive biases, emotions, and social factors, but awareness of these influences can lead to better choices.

b.Social influence is the strongest factor affecting human decision-making, and individual reasoning is mostly ineffective.

c.People make decisions based only on past experiences, and logic plays no role in the process.

d.Human decision-making is primarily driven by emotions and lacks any rational thought.

Q.6 Which of the following, if true, would weaken the claims made in the passage?

a.Confirmation bias is a useful tool that helps people filter out unnecessary information.

b.The availability heuristic helps people make better decisions by quickly identifying the most relevant information.

c.Evidence suggests that people rely entirely on logical analysis and are unaffected by emotions or biases when making decisions.

d.Research confirms that loss aversion plays a significant role in financial decision-making.

Q.7 Which of the following can be inferred from the passage?

a.Financial decisions are always rational and unaffected by emotions.

b.People often make decisions that are not entirely rational due to cognitive biases and emotions.

c.The bandwagon effect makes people more independent thinkers.

d.Decision-making is completely unpredictable and cannot be studied or understood scientifically.

Q.8 Which of the following, if true, would strengthen the argument presented in the passage?

a.People make equally good decisions whether or not they are aware of psychological influences.

b.Research indicates that emotions have no role in decision-making, and all choices are based on logic.

c.Studies show that people who recognize their cognitive biases tend to make better long-term financial and personal decisions.

d.Social influence does not affect personal decisions in any significant way.

Read the following passage and answer the questions that follow: 

Social media has transformed the way people connect, making communication faster and more accessible. However, while it offers many benefits, it has also significantly changed interpersonal relationships, both positively and negatively.

One of the biggest advantages of social media is that it allows people to stay in touch regardless of distance. Families separated by geography can now communicate instantly, and friendships can thrive even without physical presence. Additionally, social media provides a platform for people to express themselves and engage with a wider audience, helping build communities and support networks.

Despite these benefits, social media has also weakened face-to-face communication. Many people now prefer texting over talking, leading to a decline in deep, meaningful conversations. Eye contact, body language, and emotional cues—essential aspects of human interaction—are often lost in digital communication. Furthermore, excessive use of social media can create an illusion of connection while actually increasing feelings of loneliness and isolation. People may have hundreds of online friends but still struggle to build genuine, in-person relationships.

Another concerning impact is the rise of superficial interactions. Social media encourages instant responses and brief exchanges, often replacing thoughtful discussions with emojis and short messages. This shift affects the way people develop social skills and emotional intelligence.

To maintain healthy interpersonal relationships, it is essential to strike a balance. While social media can enhance communication, it should not replace face-to-face interactions. By using social media mindfully and making time for real-life conversations, people can enjoy the best of both worlds—strong digital connections without losing the depth of personal relationships.

Q.9 Which of the following can be logically inferred from the passage?a. A balanced approach to using social media can help people maintain meaningful relationships.

b. People should completely stop using social media to maintain real-life relationships.

c. Social media has no influence on the way people communicate in person.

d. The decline in face-to-face conversations is entirely due to social media.

Q.10 Which of the following, if true, would weaken the claims made in the passage?

a.Many individuals feel isolated due to a lack of online interactions rather than excessive social media use.

b.Research shows that people who frequently use social media also engage in more face-to-face conversations than those who do not.

c.The rise of social media has had no impact on the quality of interpersonal relationships.

d.The ability to communicate through text and emojis has helped people form deeper emotional bonds.

Q.11 What is the central argument of the passage?

a.While social media enhances connectivity, it also reduces the depth of interpersonal communication and face-to-face interactions.

b.The use of social media for communication is a passing trend and will not have long-term effects on human interaction.

c.Social media is a positive tool that has strengthened relationships and eliminated loneliness.

d.Social media has completely replaced face-to-face communication, making interpersonal relationships weaker.

Q.12 Which of the following, if true, would further support the argument made in the passage?

a.Research indicates that social media platforms have led to an increase in empathy and emotional intelligence.

b.Studies show that people who spend excessive time on social media often feel lonelier despite having many online connections.

c.Social media users report having deeper and more meaningful conversations compared to in-person interactions.

d.The use of emojis and short messages has improved people's ability to express emotions effectively.

Read the following passage and answer the questions that follow: 

In the modern world, democracy and authoritarianism represent two contrasting approaches to governance. Democracy, built on principles of freedom, equality, and public participation, allows citizens to have a voice in decision-making. In contrast, authoritarianism centralizes power in the hands of a single leader or a small group, often limiting individual freedoms and suppressing dissent.

One of the strongest arguments in favor of democracy is its emphasis on accountability and transparency. Democratic governments operate through checks and balances, ensuring that power is not abused. Citizens can vote, protest, and express their opinions, which helps prevent corruption and promotes policies that reflect the public interest. Additionally, democracies tend to foster innovation and economic growth by encouraging open discussions and diverse viewpoints.

However, democracy also has its challenges. Decision-making can be slow, as policies must go through debate and consensus-building. In times of crisis, democratic governments may struggle to act swiftly, whereas authoritarian regimes can make rapid decisions without opposition. Some argue that authoritarianism, despite its restrictions on freedoms, can provide stability and efficiency, especially in countries facing internal conflicts or economic turmoil.

Yet, history has shown that authoritarian rule often leads to human rights violations, censorship, and a lack of political freedom. The absence of opposition allows unchecked power, which can result in oppression and long-term instability. While some authoritarian states have achieved economic success, many struggle with corruption and public dissatisfaction.

Ultimately, democracy, despite its imperfections, remains the preferred system for ensuring freedom and long-term stability. While authoritarian regimes may offer short-term efficiency, democracy’s ability to empower citizens, protect rights, and encourage progress makes it the better choice for modern societies.

Q.13 What is the central argument of the passage?

a.While democracy has certain drawbacks, it remains a better system than authoritarianism due to its focus on freedom, accountability, and long-term stability.

b.Democracy is a perfect system with no flaws, making it the only viable form of governance.

c.Economic growth is the sole factor that determines whether democracy or authoritarianism is preferable.

d.Authoritarianism is a more efficient system than democracy due to its ability to make swift decisions.

Q.14 Which of the following can be logically inferred from the passage?

a.In modern times, authoritarianism has completely disappeared in favor of democracy.

b.A government system that prioritizes public participation is more likely to protect human rights. 

c.Authoritarian governments never provide stability or economic success.

d.Democracies are always more prosperous than authoritarian states.

Q.15 Which of the following, if true, would weaken the claims made in the passage?

a.Citizens in authoritarian countries universally prefer democracy over their current system.

b.Some democratic nations have experienced political instability and slow decision-making, leading to public dissatisfaction.

c.Democratic nations have never faced governance challenges in times of crisis.

d.Authoritarian regimes always suppress innovation and economic growth.

Q.16 Which of the following, if true, would further support the argument made in the passage?

a.The majority of modern democracies struggle with economic growth and political stability.

b.In authoritarian regimes, citizens are generally happier because they do not have to worry about political participation.

c.Studies show that democratic nations tend to have stronger economies and lower corruption levels compared to authoritarian regimes.

d.Countries with strict authoritarian rule have reported higher levels of press freedom and individual rights.

1	2	3	4	5	6	7	8
B	C	A	C	A	C	B	C
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A	B	A	B	A	B	B	C