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A city plans to attract new citizens with new housing and [#permalink]
25 Jun 2008, 01:01
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A city plans to attract new citizens with new housing and new facilities such as parks, recreation centers and libraries. One component of the city's plans is to require that development seeking permission is to build this new housing to provide these additional facilities at no cost to the city.
Which of the following, if true, would point to a possible flaw in the city's plan?
(A) Developers would pass along their costs to the buyer; thereby raising the cost of housing units beyond the ability of likely purchasers to afford them. (B) Light, nonpolluting industries have located in the area, offering more jobs and better-paying jobs than do the more established industries in the area. (C) Other towns and cities nearby have yet to embark on comparable plans to attract new citizens (D) Most developers see the extra expense of providing municipal facilities as simply one of the many costs of doing business. (E) Studies show that purchasers of new houses, especially first-time buyers, rank recreational resources as an important factor in deciding to buy a particular house.