Statement: "More young people are investing in stocks."Inference:
Correct answer: A. Financial awareness is rising
- A. Financial awareness is rising
- B. Stock markets are closing
- C. Apps are boring
- D. Youth avoid savings
Explanation
The correct inference from the statement 'More young people are investing in stocks.' is that financial awareness is rising among the youth. This inference is logical because an increase in investment activities among young people typically indicates a heightened interest in financial matters and a better understanding of financial markets. Option A captures this idea accurately.Option B is incorrect because the statement indicates increased participation in the stock market, which would not be happening if markets were closing. Option C is irrelevant as it discusses the appeal of apps, which is unrelated to the investment behavior described. Option D is incorrect because investing does not imply avoiding savings; rather, they can be complementary financial strategies.
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Critical thinking examines how conclusions follow from evidence, including claims, assumptions, arguments, inferences and relevant facts. Questions ask you to identify hidden assumptions, distinguish strong from weak evidence, assess cause and effect, recognise common reasoning errors, and decide which statement strengthens or weakens an argument.
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