Logical reasoning PrepTest 106 · Section 1 · Question 17

Question prompt

When a community opens Remaining source text redacted.
Why the credited answer is right

Credited answer: D

The notes below walk through why it fits the stem and how to eliminate the rest.

Argument or Facts

Facts

Valid or Flawed

NA

Question Type

Paradox Questions

Stimulus Summary

Expectation when mall opens - Boost local economy
When mall opens - Lots of economic activity
Typical outcome - Less local economic boost than expected based on the activity

Answer Anticipation

In all Paradox questions, we should start by clearly defining the paradox. Luckily, this stimulus has some language that makes that task a bit easier - it talks about expectations, and something that doesn’t meet expectations commonly establishes a paradox.
So what is it here? People expect the opening of a mall to boost the local economy, and yet despite there being a lot of economic activity going on at the malls, the boost is smaller than expected based on that activity.
So what’s going on? Well, the economic activity going on at a mall must not all be contributing to the local economy. Let’s look for an answer explaining how that could happen - either because of federal taxes, or the stores at the mall being owned by out-of-state conglomerates, or some other explanation.

Answer choices

  1. A
    When large shopping malls Remaining source text redacted.
    Why choice A is not credited
    This answer would explain why the boost to the economy was smaller than at first, but the paradox is that it’s smaller than would be suggested by the level of economic activity going on at the mall. Always be sure to have a clear and precise understanding of the paradox!
  2. B
    Most of the money Remaining source text redacted.
    Why choice B is not credited
    This answer establishes that the mall attracted tourists, who spent money that was earned in other areas. If anything, this would suggest an even larger influx of money to the local economy, making the paradox worse!
  3. C
    Most of the jobs Remaining source text redacted.
    Why choice C is not credited
    If the jobs were held by people who commuted into the area to work at the mall, and then took their paychecks to other areas, it might explain the economic boost being muted. But this answer states that the individuals who are working at the mall moved to the community, so their paychecks are staying in the area.
  4. D
    Most of the money Remaining source text redacted.
    Why choice D matches the stem
    So the same amount of overall money is being spent, just more of it at the mall than at other shops. If this is true, then the economic activity at the mall isn’t new/increased economic activity, and so the positive effect on the local economy would be muted. Since it resolves the paradox, this answer is correct.
  5. E
    Most of the jobs Remaining source text redacted.
    Why choice E is not credited
    The stimulus focuses on the economic activity at the mall, not the paychecks people are receiving. But even if we include that in the economic activity, low-paying jobs would still contribute to the economic activity, and so we don’t know why it’s lower than expected.

What this tests

Question analytics

Based on historical answer selection rates for this question.

Answer choice distribution

  1. A 9%
  2. B 20%
  3. C 3%
  4. D Credited 58%
  5. E 10%

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