Reading comp PrepTest 147 · Section 3 · Question 26

Passage

Questions 22-27  . Passage A  .       In 1994, Estonia became the first country to  . introduce a "flat tax" on Remaining source text redacted.
Passage walkthrough
Passage SummaryTopic: Social Sciences

Passage A
Paragraph 1
  • Paragraph note
    • A new trend that questions a traditional thought is established
  • Views, minor Meta-Structures, points of intersection, and the author's attitude
    • New trend - Flat tax, Estonia to 8 other countries
    • Old belief - Flat taxes work only in theory, but that seems wrong
Paragraph 2
  • Paragraph note
    • New objections now that flat taxes exist
  • Views, minor Meta-Structures, points of intersection, and the author's attitude
    • New objection - A flat tax isn't progressive
Paragraph 3
  • Paragraph note
    • The Author shows that the new objection is wrong
  • Views, minor Meta-Structures, points of intersection, and the author's attitude
    • Author - A flat tax can be progressive through two variables - threshold and tax rate above threshold
    • Most countries - Incentive to cheat on taxes, and complex code lets it happen
    • Outcome - Rich people pay about the same under a flat tax
Passage B
Paragraph 1
  • Paragraph note
    • A tax system is described
  • Views, minor Meta-Structures, points of intersection, and the author's attitude
    • Common wrong belief - Graduated taxes cause people to pay higher rates on whole earnings
    • Real system - Everyone treated the same, as the higher tax rate is just on income above a threshold
Paragraph 2
  • Paragraph note
    • Two distinctions are drawn to make a point
  • Views, minor Meta-Structures, points of intersection, and the author's attitude
    • Dollars aren't all equal - poor people spend most of their income on surviving; middle class people have some flexibility
Paragraph 3
  • Paragraph note
    • A separate tax system is criticized
  • Views, minor Meta-Structures, points of intersection, and the author's attitude
    • Flat tax - Tries to account for this by exempting some income to let the working poor survive
    • Problem - Going from one extreme (no tax) to another (highest flat rate). Poor pay less, rich pay less - to make the same, the middle class is going to have to pay more
Main Point:
Passage A - Despite criticism in both the past and present, a flat tax can work in the real world and also be progressive, leading to the rich paying as much under this system as alternatives

Passage B - People don't understand graduated taxes, and also flat tax systems will inevitably result in the middle class paying more in taxes

Key Lines:

Passage A:
Lines 5-8 - A common belief is called into question
Lines 9-11 - A new objection is raised
Line 17 - The Author disagrees with the objection
Lines 26-28 - The Author wraps up the disagreement with the objection

Passage B:
Lines 35-36 - A clarification is made
Lines 40-41 - The Author highlights an important difference that's explored in this paragraph
Lines 53-59 - A goal is established and criticism of an approach to reaching that goal is stated

Meta-Structure - Relationship Between Passages:
The two passages have very different views on flat taxes. Passage A notes that they can be progressive, and that under existing systems, the high-income earners pay "about as much tax" as they would under other systems. Passage B, on the other hand, believes that high-income earners will pay less, and the middle class will have to make up the difference. So they largely disagree on that topic.

Last Thoughts:
The passages here were a little technical with their discussion of tax rates and thresholds, so let's be sure not to get too bogged down in anything approaching math. In general, if an answer requires us to dig into numbers, we should defer on it as it's unlikely to be correct.

Question prompt

The authors of the Remaining source text redacted.
Why the credited answer is right

Credited answer: B

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

Question Type

Social Science

Answer choices

  1. A
    a flat tax system Remaining source text redacted.
    Why choice A is not credited
    Incorrect. (Lines 15-17; Lines 48-50) Passage A argues that a flat tax can be progressive by tweaking a threshold and the tax rate above that threshold. Passage B says that "some" flat tax proposals include an exemption for a certain amount of income, and thus he believes that it's at least possible for a flat tax system to be progressive to a certain degree. This answer is therefore a point of agreement.
  2. B
    high-income earners would pay Remaining source text redacted.
    Why choice B matches the stem
    Correct. Question Type:
    Point at Issue

    Strategy Overview:
    Review what we said about the relationship between the passages as far as differences between them are concerned

    Answer Anticipation/Relevant Lines:
    Looking at what we said about the relationship between the two, the key difference comes down to the opinion on flat taxes and how it'll affect the tax burden of different levels of income.

    In Passage A, the Author argues that a flat tax system sees the rich "pay about as much tax" as they do under the old system (Lines 26-29). Passage B, on the other hand, believes that the working poor and the rich are going to "pay less," and so the middle class are going to pay more (Lines 53-59).

    Passage A discusses only the effect of a flat tax on what the rich pay, so the explicit disagreement is over that group. Passage A thinks they'd pay about the same, while Passage B thinks they'd pay less. Let's find an answer stating that.

    Answer Explanation:
    (Lines 26-29; Lines 53-59) The Author of Passage A says that it's "unsurprising" rich people pay about the same in taxes under a flat-tax system as under other systems, so she'd disagree with this answer. The Author of Passage B says that the rich are going to "pay less" under a flat tax system, so he'd agree with this answer. It is therefore correct.

    Key Takeaway:
    Point at Issue questions in RC require as much evidence as they do in LR. We can't kinda sorta infer that one speaker would have a certain opinion on an answer based on their overall tone—we want to find specific statements in the passages that line up with or against the answers.
  3. C
    flat tax systems are Remaining source text redacted.
    Why choice C is not credited
    Incorrect. (Lines 5-8; Lines 48-59) Passage A shows that this view is incorrect by highlighting real-world examples of it being put into practice. However, the Author of Passage B doesn't believe that it is fine in theory or couldn't be put into practice. He believes that a flat tax would unfairly burden the middle class, so it's not fine in theory; and in arguing about the practical effects of implementing it, he assumes that it could be implemented. The Authors of both passages disagree with this answer—not with each other over it!
  4. D
    graduated progressive systems make Remaining source text redacted.
    Why choice D is not credited
    Incorrect. (Lines 12-15; Lines 33-38) Both passages agree with this idea. Passage A states that progressive systems require high-income earners to forfeit a bigger share of their incomes. Passage B describes graduated progressive systems using more or less this language.
  5. E
    all of an individual's Remaining source text redacted.
    Why choice E is not credited
    Incorrect. (Lines 17-19; Lines 41-45) In arguing for a flat tax, the Author of Passage A notes that they can include a threshold under which people wouldn't pay taxes, so she disagrees with this answer. And the Author of Passage B talks about how the working poor have all their income going to survival, and so they should have at least some income exempted from taxes. Since both passages disagree with this answer, it's incorrect.

What this tests

Question analytics

Based on historical answer selection rates for this question.

Answer choice distribution

  1. A 18%
  2. B Credited 42%
  3. C 17%
  4. D 17%
  5. E 7%

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Discussion

  • Why is D wrong? 1 reply

    Started by manvir

  • Answer explanation 1 reply

    Started by sydneycrudo123

  • Help 1 reply

    Started by Virginia_61092