Paper and Plastic bags

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Paper and Plastic bags

by BlueDragon2010 » Wed Dec 11, 2013 8:55 pm
Paper and plastic grocery bags are a continuing problem for the city, both as litter and in landfills. To discourage their use, the city council has proposed a tax on each bag, to be paid by the supermarkets that supply them. Several environmental groups, however, oppose the tax, despite having brought the issue to the council's attention in the first place.

Which of the following, if true, would best explain the environmental groups' opposition to the proposed tax?

(A) The city's current tax revenue is insufficient to pay the cost of recycling paper and plastic grocery bags.

(B) The cost to the city of collecting and disposing of a grocery bag is greater than the proposed tax per bag.

(C) Plastic bags account for 90 percent of the grocery bags that litter the city's streets and take up space in landfills.

(D) Only supermarkets distributing more than a certain number of grocery bags each month would be subject to the proposed tax.

(E) Supermarkets plan to pass the tax on to consumers, who are unlikely to change their behavior based on the small increase in their grocery bills.

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by Patrick_GMATFix » Wed Dec 11, 2013 9:24 pm
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by Abhishek009 » Thu Dec 12, 2013 9:05 am
BlueDragon2010 wrote:Paper and plastic grocery bags are a continuing problem for the city, both as litter and in landfills.To discourage their use, the city council has proposed a tax on each bag, to be paid by the supermarkets that supply them. Several environmental groups, however, oppose the tax, despite having brought the issue to the council's attention in the first place.
1. Papaer & plastic bags - Problem ---> (a) Litter , (b) Landfills

2. City Council Proposes Tax on each bag - To be paid by Super markets who supply it.

3. Environmental group brings it to Council's attention ----> Opposes the Tax.

Which of the following, if true, would best explain the environmental groups' opposition to the proposed tax?


(A) The city's current tax revenue is insufficient to pay the cost of recycling paper and plastic grocery bags.

Why will the Environmentalists oppose it , it's a problem related to the Federal Department. The Finance Department will be bothered about the same...

(B) The cost to the city of collecting and disposing of a grocery bag is greater than the proposed tax per bag.

Same as (A) , Environmentalists have no role...

(C) Plastic bags account for 90 percent of the grocery bags that litter the city's streets and take up space in landfills.

Might be , where does Environmentalist come in the picture...

In a supermarket Grocery Bags are also sold along with other goods and the Environmentalists have no direct role here..

(D) Only supermarkets distributing more than a certain number of grocery bags each month would be subject to the proposed tax.

Might be a possible contender...

What about the other part ? Who is going to pay it ? Will this resolve the issue of Environmental Problem ?

Too many questions remain unanswered...

(E) Supermarkets plan to pass the tax on to consumers, who are unlikely to change their behaviour based on the small increase in their grocery bills.

Might be , if Supermarkets pass on the excess tax to the customers , and if customers behaviour remains the same , then the main issue remains unattended...

Environmentalists can oppose this strongly...

Hence (E) seems better than (D)

IMO (D)..
Abhishek