Traditionally the public bus system has been subsidized by the state

Hi BeckyRobinsonTPR

This is a good CR question.

Understanding the passage:
> The author says that public bus system has been subsidised by state govt
> this is because operating costs are not totally covered by revenue from ticket sales

>The author finally tells us that governor's plan is to cut financial support of the system.

The question asks the reader to find out what logically follows from the passage, that is what can be inferred from the given information.

Pre-thinking:
> The bus system can't cover its costs in the present scenario of ticket sales
> Governor plans to withdraw support

Potential inference: In the event of withdrawal of support, bus system will not be able to sustain if revenue from ticket sales do not improve.

Answer Choice Analysis:


A) If the government continues with its plan, the bus will have to stop operating.
> This is not a necessity as the bus system could improve revenue from ticket sales to support itself.
B) If the bus system does not find another way of raising money and the governor’s plan is approved, the bus system will have to either raise ticket prices or cut back on service.
> This is in line with our pre-thinking. In case governor's plan is approved, the bus system will have to either find another way of financial support or raise ticket prices. In the absence of both, they shall have to cut the service given financial non-viability.
C) If the price of a bus ticket is raised, some people will no longer be able to afford to ride the bus.
> The passage does not talk about the affordability of people.
D) If the bus system can find a way to cut costs, it will be able to maintain current levels of service.

> Whether the cost cutting is sufficient to bridge the financial gap is not known. Thus, this cannot be an absolute inference.
E) A group of investors is considering privatizing the subway system.[/quote]

> The passage does not talk about any group of investors or their plan.

Therefore, the answer is Option (B).

I hope I was elaborate enough. Pls share your thoughts.

P.S: CR was my weak point early on. Thereafter, e-GMAT gave me a solid foundation in Verbal including CR. I was not only able to decide upon the correct answer choice but also knew why other options were wrong. It played a huge part in securing a V41 in my 760 GMAT.

Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.