When a city experiences a sharp decline in population, the city's tax revenues, which pay for such city services as police protection and maintenance of water lines, also decrease. The area to be policed and the number and length of the water lines to be maintained, however, do not increase. Attempting to make up the tax revenue lost by raising tax rates is not feasible, since higher tax rates would cause even more residents to leave.
The information given most strongly supports which of the following general claims?
A. If, in a city with sharply declining population, police protection and water line maintenance do not deteriorate, some other service previously provided by the city will deteriorate or be eliminated.
B. If a city's tax rates are held stable over a period of time, neither the population nor the levels of city services provided will tend to decline over that period.
C. If a city's population declines sharply, police protection and water line maintenance are the services that deteriorate most immediately and most markedly.
D. A city that suffers revenue losses because of a sharp decline in population can make up some of the lost tax revenue by raising tax rates, provided the city's tax rates are low in relation to those of other cities.
E. A city that is losing residents because tax rates are perceived as too high by those residents can reverse this population trend by bringing its tax rates down to a more moderate level.
my doubt: i can understand that A is the answer here; however i fail to understand as why D cannot be a logical infered from the passage? i feel that out of two options A and D , option A is a better answer because option A is combining the the 2 premises , viz "population decline and revenue collection" AND the "pipeline and police maintenance" thing , in much better way than does option D
doubt 2
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D: A city that suffers revenue losses can make up some of the lost tax revenue by raising tax rates.aditya8062 wrote:i fail to understand as why D cannot be a logical infered from the passage?
Passage: Attempting to make up the tax revenue by raising tax rates is not feasible.
D contradicts the passage.
A correct inference cannot contradict the passage.
Eliminate D.
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Followed here and elsewhere by over 1900 test-takers.
I have worked with students based in the US, Australia, Taiwan, China, Tajikistan, Kuwait, Saudi Arabia -- a long list of countries.
My students have been admitted to HBS, CBS, Tuck, Yale, Stern, Fuqua -- a long list of top programs.
As a tutor, I don't simply teach you how I would approach problems.
I unlock the best way for YOU to solve problems.
For more information, please email me (Mitch Hunt) at [email protected].
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