Why is E correct? Why is D incorrect?

Hi @Ryan-Mahabir, To see why (E) is right, take a look at the referee to the Solnick and Hemingway study in lines 24-33, which supports the author's position using data. For passage B, take a look at line 50, in which the author cites "the data." (D) is wrong because the word "paradox" is a bit too strong of a word to describe the situation. While relative prosperity seeming more important than absolute wealth may be unintuitive, it doesn't rise to the level of "paradoxical." Hope this helps!

i am still confused by this. The first line of passage A says it reveals a paradox and then both passages go on to argue how to solve it.

While passage B could be used to resolve the paradox described in A, there's no evidence the author of B was trying to do so. Rather, the author of passage B is describing research and which line of reasoning they prefer. I don't think that B is trying to resolve a paradox at all.