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Data Interpretation & Logical Reasoning (DILR) Question on Statements and Assumptions

In the following question, two statements numbered I and II are given. There may be cause and effect relationship between two statements. These two statements may be the effect of same cause or independent causes. These statements may be independent causes without having any relationship. Read both the statements and mark your answer accordingly.
Statement I: Low interest rates are associated with recession.
Statement II: High interest rates lead to capital flights.

A

Statement I is the cause and statement II is its effect

B

Statement II is the cause and statement I is its effect

C

Both statement I and statement II are independent causes

D

Both statement I and statement II are effect of independent causes

Answer

Both statement I and statement II are effect of independent causes

Explanation

Solution

The correct option is (D): Both statement I and statement II are effect of independent causes