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Because the municipal commission of City X expects a severe shortage of electrical power in the coming months, it has increased the rate at which it charges for the usage of electricity in the hope that people will decrease their usage. In the six weeks since this plan was implemented, one of the city’s prominent suppliers of electricity has reported that its customers are now using over 10 percent less power than they were before the price was raised. Clearly, the commission’s plan is working.
Which of the following, if true, supports the conclusion that the municipal commission’s plan is not the reason for the decrease in usage mentioned above?
  • a)
    Electricity supply in hospitals, train stations and other public service areas is provided free of charge by the city.
  • b)
    The population of City X is among the lowest in the urban regions of the country.
  • c)
    Many industrial corporations that use extensive amounts of electrical power are soon going to open regional offices in City X.
  • d)
    Citizens of City X have increasingly been choosing the option of sourcing their electrical power from more than one supplier.
  • e)
    Per capita spending on electricity is no higher in City X than in other cities in the country.
Correct answer is option 'D'. Can you explain this answer?
Verified Answer
Because the municipal commission of City X expects a severe shortage o...
Because the municipal commission of City X expects a severe shortage of electrical power in the coming months, it has increased the rate at which it charges for the usage of electricity in the hope that people will decrease their usage. In the six weeks since this plan was implemented, one of the city’s prominent suppliers of electricity has reported that its customers are now using over 10 percent less power than they were before the price was raised. Clearly, the commission’s plan is working.
Which of the following, if true, supports the conclusion that the municipal commission’s plan is not the reason for the decrease in usage mentioned above?
Argument Analysis
 
Pre-Thinking
Conclusion Clarification
The question stem asks us to provide a statement that supports the conclusion that the municipal corporation’s plan is not the reason for the decrease in electricity usage. In other words, we have to identify a statement that weakens the conclusion that the municipal corporation’s plan is the reason for the decrease in electricity usage.
Pre-Thinking Approach
Let’s see how we can make the conclusion less believable.  To do so, we will look at the logical structure, focusing on linkage 1. We see that the conclusion is drawn regarding the cause of the reported decline in EP. Hence, to weaken the conclusion, we can show an alternate cause that could have been responsible for the decline.
Linkage#1
  • Weakener 1 – What if in those six weeks the weather has changed for the better and less air cooling/heating is required?
    • Instance: City X transitioned from summer to autumn, a season in which the climatic conditions favour limited use of electrical items such as air-conditioners.
  • Weakener 2 – What if customers are sourcing their EP from more than one supplier? In such a case the reported decline does not necessarily signify a decline in usage; it could instead mean that these people are sourcing more energy from some other source.
  • Weakener 3 – What if there were lots of holidays during these 6 weeks and several customers went out of the city? This would result in lower EP usage.
With this understanding in mind, let's take a look at the option statements.
Answer Choices
A
Electricity supply in hospitals, train stations and other public service areas is provided free of charge by the city.
Incorrect - Irrelevant
This option doesn’t affect the conclusion in any way since the public spaces receiving free EP wouldn’t be affected by the MC’s plan that affects people paying for it.
B
The population of City X is among the lowest in the urban regions of the country.
Incorrect - Irrelevant
This factor is constant for both the situations-situation before the plan was implemented and during the plan. Hence, it cannot account for an alternate explanation for the decrease in the EP.
C
Many industrial corporations that use extensive amounts of electrical power are soon going to open regional offices in City X.
Incorrect - Irrelevant
This option is not relevant as it talks about a future event whereas the conclusion is about the past.
D
Citizens of City X have increasingly been choosing the option of sourcing their electrical power from more than one supplier.
Correct
This choice is written along the lines of our pre-thinking as per Weakener 2.
E
Per capita spending on electricity is no higher in City X than in other cities in the country.
Incorrect - Irrelevant
The comparison between per capita spending on E in X and other cities is not relevant to the conclusion. The conclusion is only about E usage in X.
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Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?

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Because the municipal commission of City X expects a severe shortage of electrical power in the coming months, it has increased the rate at which it charges for the usage of electricity in the hope that people will decrease their usage. In the six weeks since this plan was implemented, one of the city’s prominent suppliers of electricity has reported that its customers are now using over 10 percent less power than they were before the price was raised. Clearly, the commission’s plan is working.Which of the following, if true, supports the conclusion that the municipal commission’s plan is not the reason for the decrease in usage mentioned above?a)Electricity supply in hospitals, train stations and other public service areas is provided free of charge by the city.b)The population of City X is among the lowest in the urban regions of the country.c)Many industrial corporations that use extensive amounts of electrical power are soon going to open regional offices in City X.d)Citizens of City X have increasingly been choosing the option of sourcing their electrical power from more than one supplier.e)Per capita spending on electricity is no higher in City X than in other cities in the country.Correct answer is option 'D'. Can you explain this answer?
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Because the municipal commission of City X expects a severe shortage of electrical power in the coming months, it has increased the rate at which it charges for the usage of electricity in the hope that people will decrease their usage. In the six weeks since this plan was implemented, one of the city’s prominent suppliers of electricity has reported that its customers are now using over 10 percent less power than they were before the price was raised. Clearly, the commission’s plan is working.Which of the following, if true, supports the conclusion that the municipal commission’s plan is not the reason for the decrease in usage mentioned above?a)Electricity supply in hospitals, train stations and other public service areas is provided free of charge by the city.b)The population of City X is among the lowest in the urban regions of the country.c)Many industrial corporations that use extensive amounts of electrical power are soon going to open regional offices in City X.d)Citizens of City X have increasingly been choosing the option of sourcing their electrical power from more than one supplier.e)Per capita spending on electricity is no higher in City X than in other cities in the country.Correct answer is option 'D'. Can you explain this answer? for GMAT 2024 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about Because the municipal commission of City X expects a severe shortage of electrical power in the coming months, it has increased the rate at which it charges for the usage of electricity in the hope that people will decrease their usage. In the six weeks since this plan was implemented, one of the city’s prominent suppliers of electricity has reported that its customers are now using over 10 percent less power than they were before the price was raised. Clearly, the commission’s plan is working.Which of the following, if true, supports the conclusion that the municipal commission’s plan is not the reason for the decrease in usage mentioned above?a)Electricity supply in hospitals, train stations and other public service areas is provided free of charge by the city.b)The population of City X is among the lowest in the urban regions of the country.c)Many industrial corporations that use extensive amounts of electrical power are soon going to open regional offices in City X.d)Citizens of City X have increasingly been choosing the option of sourcing their electrical power from more than one supplier.e)Per capita spending on electricity is no higher in City X than in other cities in the country.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for GMAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Because the municipal commission of City X expects a severe shortage of electrical power in the coming months, it has increased the rate at which it charges for the usage of electricity in the hope that people will decrease their usage. In the six weeks since this plan was implemented, one of the city’s prominent suppliers of electricity has reported that its customers are now using over 10 percent less power than they were before the price was raised. Clearly, the commission’s plan is working.Which of the following, if true, supports the conclusion that the municipal commission’s plan is not the reason for the decrease in usage mentioned above?a)Electricity supply in hospitals, train stations and other public service areas is provided free of charge by the city.b)The population of City X is among the lowest in the urban regions of the country.c)Many industrial corporations that use extensive amounts of electrical power are soon going to open regional offices in City X.d)Citizens of City X have increasingly been choosing the option of sourcing their electrical power from more than one supplier.e)Per capita spending on electricity is no higher in City X than in other cities in the country.Correct answer is option 'D'. Can you explain this answer?.
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