CAT Exam Model Paper 2 with solutions for free online practice

(d) The author is talking about money and its true value. He discusses two cases; first when in crease in money means increase in wealth and second when increase in money does not mean anything. The idea implied by the author’s statements is that money loses its value if it increases with out a comparable increase in real out put.
Thus, (b), (a) & (c) form a sequence. (b) introduces the idea of the author i.e. what happens when he gets more money. (a) is an add on as the author wants to explain what all is considered as money. (c) talks about the second scenario when everybody gets money (becomes rich). (d) is not linked to all these lines.
A link is missing. The link should be that increase in money does not increase the wealth of the nation i.e. money does not represent the wealth of the nation. Thus the ‘it‘ in (d) does not have an antecedent. Hence, (d) is the correct choice.