Find all School-related info fast with the new School-Specific MBA Forum

It is currently 02 Sep 2015, 20:48
GMAT Club Tests

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

A gas tax of one cent per gallon would raise one billion

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
VP
VP
User avatar
Joined: 25 Nov 2004
Posts: 1494
Followers: 6

Kudos [?]: 50 [0], given: 0

A gas tax of one cent per gallon would raise one billion [#permalink] New post 19 Apr 2005, 11:32
00:00
A
B
C
D
E

Difficulty:

(N/A)

Question Stats:

0% (00:00) correct 0% (00:00) wrong based on 0 sessions
A gas tax of one cent per gallon would raise one billion dollars per year at current consumption rates. Since a tax of fifty cents per gallon would therefore raise fifty billion dollars per year, it seems a perfect way to deal with the federal budget deficit. This tax would have the additional advantage that the resulting drop in the demand for gasoline would be ecologically sound and would keep our country from being too dependent on foreign oil producers.

Which one of the following most clearly identifies an error in the author’s reasoning?

(A) The author cites irrelevant data.
(B) The author relies on incorrect current consumption figures.
(C) The author makes incompatible assumptions.
(D) The author mistakes an effect for a cause.
(E) The author appeals to conscience rather than reason.
SVP
SVP
User avatar
Joined: 30 Oct 2003
Posts: 1794
Location: NewJersey USA
Followers: 5

Kudos [?]: 48 [0], given: 0

 [#permalink] New post 19 Apr 2005, 11:55
I believe the answer is (C)

one part of the argument says that the consumption will remain the same inspite of increase in the tax , and the other part says the consumption will decrease and this descrease will be good for the country.
VP
VP
avatar
Joined: 30 Sep 2004
Posts: 1488
Location: Germany
Followers: 4

Kudos [?]: 132 [0], given: 0

 [#permalink] New post 19 Apr 2005, 11:57
C)...

The author makes incompatible assumptions. => the author says that the consumption rate stays at present levels. then he says the demand will drop. if that is true how can they raise fifty billion dollars per year. if the own gasoline is more expansive than the foreign gasoline, how can he assume that the people won`t buy foreign gasoline. many incompatible assumptions
_________________

If your mind can conceive it and your heart can believe it, have faith that you can achieve it.

VP
VP
avatar
Joined: 18 Nov 2004
Posts: 1441
Followers: 2

Kudos [?]: 23 [0], given: 0

 [#permalink] New post 19 Apr 2005, 12:43
good ques..."C".....author in one hand assumes that consumption will stay the same when he calculates the revenue then says that consumption will decrease and will benefit the env.
VP
VP
User avatar
Joined: 25 Nov 2004
Posts: 1494
Followers: 6

Kudos [?]: 50 [0], given: 0

 [#permalink] New post 19 Apr 2005, 13:10
Yes, C is OA. :cool
  [#permalink] 19 Apr 2005, 13:10
    Similar topics Author Replies Last post
Similar
Topics:
2 Experts publish their posts in the topic *700* A gas tax of one cent per gallon would raise one billion souvik101990 3 17 Apr 2015, 09:25
A gas tax of one cent per gallon would raise one billion garimavyas 1 12 May 2011, 23:19
1 A gas tax of one cent per gallon would raise one billion aimkp 13 08 Dec 2010, 01:11
1 A gas tax of one cent per gallon would raise one billion marcodonzelli 4 23 Feb 2008, 08:17
Zachary: One would have to be blind to the reality of moral old_dream_1976 6 07 Apr 2006, 13:30
Display posts from previous: Sort by

A gas tax of one cent per gallon would raise one billion

  Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Privacy Policy| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.