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Question 338: Statement:Should India give away Kashmir to Pakistan?Arguments:No. Kashmir is a beautiful state. It earns a lot of foreign exchange for India.Yes. This would help settle conflicts.

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Clearly, India cannot part with a state that is a major foreign exchange earner to it. So, argument I holds strong. Further, giving away a piece of land unconditionally and unreasonably is no solution to settle disputes. So, argument II is vague.