If there is a decrease in the number of homeless families, then either

(A) The number of jobs has been decreasing.

Incorrect. This can be true since the passage presents an either / or condition to explain the decrease in number of homeless families.

(B) The cost of renting or purchasing housing has been decreasing, and housing supply exceeds demand.

Incorrect. This can be true and has been explicitly stated in the passage.

(C) The number of jobs has been increasing, and the cost of renting or purchasing housing has been stable.

Incorrect. This scenario can also be true. The passage states that either the available jobs should go up OR costs should come down. In this statement, this condition is satisfied since the jobs are increasing.

(D) The number of jobs has been decreasing, the cost of renting or purchasing housing has been decreasing, and housing demand exceeds supply.

Correct. This scenario can't be true. The passage states that if costs decrease, then supply MUST outstrip demand. Therefore, this is the correct answer.

(E) The number of jobs has been increasing, the cost of renting or purchasing housing has been increasing, and housing supply exceeds demand.

Incorrect. Again, this statement satisfies the either / or condition. Further, we've not been given any info by the passage on potential reasons for increase in costs. So that bit is irrelevant and can be true.

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