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Abolish taxes, and real taxpayers would find that their

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Senior Manager
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Abolish taxes, and real taxpayers would find that their [#permalink] New post 04 Aug 2006, 08:54
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A
B
C
D
E

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Abolish taxes, and real taxpayers would find that their disposable incomes have increased. Abolish taxes, and public employees would find that their incomes have disappeared.

Which one of the following is a logical conclusion that depends on information in both of the statements above?

(A) Public offices should be abolished so that disposable incomes will rise.
(B) The only real taxpayers are those who would have more to spend if they did not pay taxes.
(C) Public employees are not real taxpayers.
(D) Public employees’ incomes should not be taxed since they come from taxes.
(E) If there were no taxes, then public employees could not be paid.
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 [#permalink] New post 04 Aug 2006, 08:59
Is it E?
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 [#permalink] New post 04 Aug 2006, 09:21
C

E is nothing but the second statement of the argument.

No taxes------> Increase in income of real taxpayers and no pay for public employees.

This means, if taxes are abolished then, for all real taxpayers, income should increase but as per the argument income of public employees in not increasing. Hence public employees are not real tax payers.
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SAID BUSINESS SCHOOL, OXFORD - MBA CLASS OF 2008

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 [#permalink] New post 04 Aug 2006, 09:27
ps_dahiya wrote:
C

E is nothing but the second statement of the argument.

No taxes------> Increase in income of real taxpayers and no pay for public employees.

This means, if taxes are abolished then, for all real taxpayers, income should increase but as per the argument income of public employees in not increasing. Hence public employees are not real tax payers.


Awesome! Thanks..
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 [#permalink] New post 04 Aug 2006, 20:38
one more C.
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 [#permalink] New post 04 Aug 2006, 21:19
Professor wrote:
one more C.


C it is. OA=c
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 [#permalink] New post 04 Aug 2006, 21:50
Tricky. I read the answer before guessing, but C makes sense after reading what everyone has written.
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 [#permalink] New post 06 Aug 2006, 03:00
C..
  [#permalink] 06 Aug 2006, 03:00
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