Question:

The increasing use of artificial intelligence in various industries has led to concerns about job displacement and economic inequality. AI-powered automation can perform tasks more efficiently and accurately than humans, potentially leading to job losses in many sectors.
Courses of Action:
I. Governments should invest in education and training programs to equip the workforce with the skills needed to thrive in an AI-driven economy.
II. Companies should be mandated to provide retraining and reskilling opportunities to employees whose jobs are affected by automation.
III. A universal basic income should be implemented to provide financial security to those who lose their jobs due to automation.
Which of the following is the most appropriate course of action?

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For course-of-action questions, test each option against two checks: does it follow directly from the problem stated, and is it something that can realistically be put into practice? An action that fails either check should be dropped, even if it sounds well-intentioned.
Updated On: Aug 17, 2026
  • Only I
  • Only II
  • Only III
  • Both I and II
  • All I, II, and III
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The Correct Option is

Approach Solution - 1

Step 1: Identify the core problem.
The passage highlights job displacement and economic inequality caused by increased AI-driven automation across industries.
Step 2: Evaluate Course of Action I.
Investing in education and training helps workers adapt to new skill requirements in an AI-driven economy, directly addressing long-term employability. Hence, Course I is appropriate.
Step 3: Evaluate Course of Action II.
Mandating companies to provide retraining and reskilling supports affected employees and reduces unemployment caused by automation. This is a practical and responsible measure. Hence, Course II is appropriate.
Step 4: Evaluate Course of Action III.
Universal basic income can provide immediate financial security to individuals who lose jobs due to automation, helping to reduce economic inequality during transitions. Thus, Course III is also appropriate.
Step 5: Final decision.
All three courses of action are relevant, practical, and directly address the problems caused by AI-driven automation.
Final Answer:
\[ \boxed{\text{Option (E)}} \]
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Approach Solution -2

Concept:
  • A course of action is valid only if it follows directly from the problem stated in the passage and is something that can realistically be put into practice.
  • When several actions attack different but genuine facets of the same root problem, and none of them is impractical or unrelated, all such actions qualify together rather than competing with each other.

Step 1: Identify the core problem stated in the passage.
AI automation is causing job displacement and economic inequality because workers lack the skills to match automated systems and lose income when their roles are replaced.

Step 2: Test Course I, government training programs.
This attacks the skills gap directly, falls within the normal policy scope of government, and is a reasonable, actionable step. It passes both the relevance and practicality tests.

Step 3: Test Course II, mandatory company retraining.
The companies applying automation are the same ones causing the displacement described, so requiring them to retrain the employees they affect is a direct, targeted response from the employer side of the same problem, and it can be enforced through policy.

Step 4: Test Course III, universal basic income.
Training removes the skills gap but does not remove the income loss that happens while workers retrain. UBI directly targets the "economic inequality" and "financial security" concerns named in the passage, so it also passes the relevance and practicality tests.

Step 5: Compare the three courses.
Each course targets a different genuine dimension of the same stated problem, skills, employer responsibility, and income protection, without being impractical or unrelated to the passage, so they reinforce each other rather than duplicate.

Final Answer: All I, II, and III
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