Mainstream economic theory has traditionally maintained that small-scale farmers cannot achieve the efficiencies necessary to compete effectively with...
GMAT Information and Ideas : (Ideas) Questions
Mainstream economic theory has traditionally maintained that small-scale farmers cannot achieve the efficiencies necessary to compete effectively with industrial agriculture, particularly regarding cost management and market penetration capabilities. This assumption has influenced decades of agricultural policy favoring consolidation and large-scale operations. Research conducted by economist Sarah Chen, however, has produced findings that challenge this conventional wisdom. Tracking performance metrics across cooperative networks of small Vermont farms that share resources and coordinate marketing efforts, Chen observed profit margins and market stability rates that consistently exceeded those of comparable individual operations, indicating that _____
Which choice most logically completes the text?
although small-scale farming faces inherent disadvantages, cooperative structures can partially mitigate some competitive challenges while still remaining less efficient than industrial operations.
in contrast to long-held economic assumptions, small-scale agricultural operations can achieve superior performance through collaborative strategies that leverage collective resources and shared expertise.
while cooperative networks show promise for small farms, the Vermont model's success depends on unique regional conditions that cannot be replicated in other agricultural markets.
despite Chen's findings, the apparent advantages of farm cooperatives may reflect temporary market conditions rather than fundamental challenges to established economic principles.
Step 1: Decode and Map the Passage
Part A: Passage Analysis Table
| Text from Passage | Analysis |
|---|---|
| 'Mainstream economic theory has traditionally maintained that small-scale farmers cannot achieve the efficiencies necessary to compete effectively with industrial agriculture, particularly regarding cost management and market penetration capabilities.' |
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| 'This assumption has influenced decades of agricultural policy favoring consolidation and large-scale operations.' |
|
| 'Research conducted by economist Sarah Chen, however, has produced findings that challenge this conventional wisdom.' |
|
| 'Tracking performance metrics across cooperative networks of small Vermont farms that share resources and coordinate marketing efforts,' |
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| 'Chen observed profit margins and market stability rates that consistently exceeded those of comparable individual operations, indicating that _____' |
|
Part B: Provide Passage Architecture & Core Elements
Main Point: Sarah Chen's research on Vermont farm cooperatives challenges traditional economic theory by showing that small farms can outperform individual operations when they collaborate.
Argument Flow: The passage sets up conventional economic wisdom that small farms can't compete with industrial agriculture, shows how this shaped policy, then presents Chen's research findings that contradict this assumption. The research demonstrates that collaborative small farms actually achieved better performance metrics, leading to an incomplete conclusion about what this means for our understanding of small-scale agriculture.
Step 2: Interpret the Question Precisely
This is a fill-in-the-blank question asking us to choose the best logical connector. The answer must create the right relationship between what comes before and after the blank.
Step 3: Prethink the Answer
- The correct answer must acknowledge that Chen's findings contradict the traditional economic assumptions
- Her research showed that when small farms work together through cooperative networks, they actually achieved better profit margins and market stability than individual operations
- This directly challenges the long-held belief that small farms inherently can't compete
- The right answer should recognize that collaborative strategies allow small farms to overcome their supposed disadvantages and potentially achieve superior performance compared to the traditional individual farming model
although small-scale farming faces inherent disadvantages, cooperative structures can partially mitigate some competitive challenges while still remaining less efficient than industrial operations.
- Says cooperatives only 'partially mitigate' challenges while remaining 'less efficient than industrial operations'
- This contradicts Chen's findings that showed cooperative farms 'consistently exceeded' individual operations
in contrast to long-held economic assumptions, small-scale agricultural operations can achieve superior performance through collaborative strategies that leverage collective resources and shared expertise.
- Directly states that small operations 'can achieve superior performance through collaborative strategies'
- Explicitly notes this finding goes 'in contrast to long-held economic assumptions'
- Perfectly matches Chen's research showing cooperative farms outperformed individual operations
while cooperative networks show promise for small farms, the Vermont model's success depends on unique regional conditions that cannot be replicated in other agricultural markets.
- Limits the findings to 'unique regional conditions that cannot be replicated'
- The passage gives no indication that Vermont's conditions are unique or non-replicable
despite Chen's findings, the apparent advantages of farm cooperatives may reflect temporary market conditions rather than fundamental challenges to established economic principles.
- Dismisses Chen's findings as reflecting 'temporary market conditions' rather than real challenges to economic principles
- Contradicts the passage's presentation of Chen's research as legitimate evidence that challenges conventional wisdom