BREAKING: Target Test Prep releases Brand New 2026 On Demand GMAT prep course

Redeem

Proposition 13.

Expert replies
by sumittaneja009 » Wed Nov 26, 2008 7:14 am
With Proposition 13, if you bought your house 11 years ago for $75,000, your property tax would be approximately $914 a year (1 percent of $75,000 increased by 2 percent each year for 11 years); and if your neighbor bought an identical house next door to you for $200,000 this year, his tax would be $2,000 (1 percent of $200,000). Without Proposition 13, both you and your neighbor would pay $6,000 a year in property taxes (3 percent of $200,000).
Which of the following is the conclusion for which the author most likely is arguing in the passage above?
(A) Proposition 13 is unconstitutional because it imposes an unequal tax on properties of equal value.
(B) If Proposition 13 is repealed, every homeowner is likely to experience a substantial increase in property taxes.
(C) By preventing inflation from driving up property values, Proposition 13 has saved homeowners thousands of dollars in property taxes.
(D) If Proposition 13 is not repealed, identical properties will continue to be taxed at different rates.
(E) Proposition 13 has benefited some homeowners more than others.


OA is B
Join the discussion
Source: — Critical Reasoning |

by Tryingmybest » Wed Nov 26, 2008 9:56 am
"Without Proposition 13, both you and your neighbor would pay $6,000." - From passage.

With the Proposition each will pay $914 a year and 2000$.

This means elimination of the policy will lead to higher taxes . This is addressed by B
Join the discussion

by nervesofsteel » Thu Nov 27, 2008 12:42 am
yes it Should be B

Without P13 there the taxes will increase to 6000 which is quite substantial
Join the discussion

by kris77 » Thu May 12, 2016 1:24 pm
I am pretty sure that the right Answer is B.
Join the discussion