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    Question

    Fill in the blanks with suitable pair of words.

    In light of the recent economic downturn, the government is focused on crafting policies that will not only (A) ______ the unemployment rate but also (B) ______ the growth of small businesses, which are crucial to the economy’s recovery.
    A exacerbate - improve Correct Answer Incorrect Answer
    B alleviate - worsen Correct Answer Incorrect Answer
    C mitigate - raise Correct Answer Incorrect Answer
    D amplify - stabilize Correct Answer Incorrect Answer
    E diminish – enhance Correct Answer Incorrect Answer

    Solution

    The first blank needs a word that suggests worsening the financial strain, and "exacerbate" (to make worse) fits perfectly. The second blank needs a word that suggests improvement, and "improve" fits here, as the expectation is that the tax will make living conditions worse, not better.

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