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by BTGmoderatorRO » Sun Oct 29, 2017 1:08 pm
In the 18th and 19th centuries, it was believed in many coastal American cities that the waterfront was an undesirable location for residential buildings. As a result, much of the waterfront in these cities was never developed aesthetically and instead was left to industry and commerce. Today, however, waterfront properties are generally seen as prestigious, as evidenced by the large sums paid for homes along the beach front. A developer who wishes to make a large profit would be wise to buy urban waterfront lots and erect residential buildings on them.
Which of the following, if true, most strongly supports the claim made about urban waterfront properties?

(A) People today have more money, relatively speaking, to spend on real estate than they did in previous centuries.
(B) Homeowners will be willing to spend large sums on residential properties in traditionally industrial or commercial districts.
(C) Many urban waterfront lots are available for purchase.
(D) Many coastal American cities are encouraging developers to rehabilitate the waterfront through tax incentives.
(E) Properties in interior residential districts in coastal American cities are significantly more expensive than those along the waterfront.
OA is b
what approach can i use to get the correct answer? please help me out
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Source: — Critical Reasoning |

by EconomistGMATTutor » Thu Nov 09, 2017 1:03 pm
The conclusion: A developer who wishes to make a large profit would be wise to buy urban waterfront lots and erect residential buildings on them.

The evidence: Waterfront properties are generally seen as prestigious, as evidenced by the large sums paid for homes along the beach front

The assumption: The markets for beach front property and urban waterfront lots are similarly desirable. There is no significant differences that would make the urban lots less desirable.

If we support the assumption, the conclusion is strengthened. If, as correct choice B says, homeowners (who are known to spend large sums on beachfront property) are also willing to spend large sums in traditionally industrial/commercial areas, then yes, it's a good idea to buy the urban waterfront lots. The opposite of this -- homeowners will not be willing to spend large sums in traditionally industrial/commercial areas -- would weaken the conclusion.

Choice A is irrelevant. The comparison between centuries does not affect the argument.
Choice C does not strengthen the conclusion. Yes, some lots need to be available, but not necessarily MANY lots right now.
Choice D does not discuss the wisdom of putting up residential buildings.
Choice E compares the cost of property, not profits, and the argument is about profits.

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