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Technological improvements have made electric cars

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Technological improvements have made electric cars [#permalink] New post 05 Mar 2010, 22:46
00:00
A
B
C
D
E

Difficulty:

  5% (low)

Question Stats:

58% (02:06) correct 42% (01:30) wrong based on 97 sessions
Guys! this question took me 02 minutes 14 seconds and I am not sure whether I am right or not as I just guessed or may be couldn't concentrate because of noise outside my flat err.
Please! explain.....
Technological improvements have made electric cars far more cost-efficient in the last decade. However, the threshold of economic viability for electric cars (that is, the cost of running an electric car compared to a gasoline powered car) has remained unchanged.
Which of the following, if true, does... most to help explain why the increased cost-efficiency of electric cars has not decreased its threshold of economic viability?
(A) The cost of manufacturing gasoline-powered cars has fallen dramatically.
(B) The reduction in the cost of manufacturing electric cars has occurred despite increased raw material costs for those cars.
(C) Technological changes have increased the efficiency of gasoline-powered cars.
(D) Most electricity is generated by coal-fired or nuclear, rather than oil-fired, power plants.
(E) When the price of oil increases, reserves of oil not previously worth exploiting become economically viable.

OA
[Reveal] Spoiler:
C

I'll post OA when OA is posted by on the original post on Facebook (posted by Andrea on The Daily Gmat group)
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Last edited by AtifS on 09 Mar 2010, 00:53, edited 1 time in total.
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Re: Technological improvements have made electric cars [#permalink] New post 05 Mar 2010, 23:07
I like to go for C as A seems to be irrelevant for me
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Re: Technological improvements have made electric cars [#permalink] New post 05 Mar 2010, 23:55
angel2009 wrote:
I like to go for C as A seems to be irrelevant for me

Hmm! Actually I was also confused between A & C. But I think it's A because we are talking about economy in terms of cost, like even if efficiency of gasoline-powered cars has increased but it doesn't mean (or we are not sure) whether their costs have been increased or decreased so can't say whether it'll affect economy. in case of A if cost for gasoline-powered cars is dramatically decreased then it means there isn't such difference between costs of gasoline-powered & electric cars and that's why improvement in electric cars isn't essentially gonna change or improve economy that much.
Hope I explained clearly ( forgive me if don't get the point as I am not native English speaking)
Would love to see more explanations.
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Re: Technological improvements have made electric cars [#permalink] New post 07 Mar 2010, 21:57
IMO, it is C
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Re: Technological improvements have made electric cars [#permalink] New post 08 Mar 2010, 01:37
One more for C.

Question is asking for the reason ==> why the cost of running an electric car compared to a gasoline powered car remains unchanged?

It's logical that efficiency of gasoline-powered cars has increased as well.
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Re: Technological improvements have made electric cars [#permalink] New post 08 Mar 2010, 01:50
The discrepancy that has to be explained centres around the economic viability of electric cars and the cost of manufacturing a fuel-driven car is irrelevant to it.
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Re: Technological improvements have made electric cars [#permalink] New post 08 Mar 2010, 02:48
IMHO C
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Re: Technological improvements have made electric cars [#permalink] New post 08 Mar 2010, 03:29
I will go for C. I was confused between C & E. What is the OA?
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Re: Technological improvements have made electric cars [#permalink] New post 08 Mar 2010, 07:36
Guys! will post OA as soon as I get it.
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Re: Technological improvements have made electric cars [#permalink] New post 08 Mar 2010, 19:10
C for me.
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Re: Technological improvements have made electric cars [#permalink] New post 09 Mar 2010, 00:55
Guys! OA is posted reveal spoiler to see OA.
@alexBLR, man echo some explanation, that would be really appreciable.
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Re: Technological improvements have made electric cars [#permalink] New post 12 Apr 2010, 08:57
As the stimulus clearly states the comparison of costs, and as it also mentions improvement in technology in electric cars.

The only way to prove it will be to increase the eficiency of gasoline powered vehicle.

I vote for C
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Re: Technological improvements have made electric cars [#permalink] New post 30 Jun 2010, 12:03
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it is not the manufacturing cost which is in question here...this choice (A) is a trap. It is the COST OF RUNNING which is in question (in fact the question stem clearly specifies it ... economic viability is cost of running electric car compared to gasoline). Now argument says - electric cars have become more efficient (though not necessarily cheaper). What can explain the lack of decrease of threshold? A corresponding increase in gasoline car efficiency alone will do that.
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Re: Technological improvements have made electric cars [#permalink] New post 30 Jun 2010, 19:43
C
Even though there is reduction in costs of electric cars, there is also similar reduction of running cost of gasoline based cars therefore the effectiveness bench mark has also reduced
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Re: Technological improvements have made electric cars [#permalink] New post 04 Jul 2010, 13:18
C for me.
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Re: Technological improvements have made electric cars [#permalink] New post 04 Jul 2010, 13:34
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C over A. With A, manufacturing costs might be down but you're not sure what costs the consumer is facing.
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Re: Technological improvements have made electric cars [#permalink] New post 14 Sep 2010, 09:27
Fell for A but C is definitely a better choice
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Re: Technological improvements have made electric cars [#permalink] New post 03 Oct 2010, 01:53
i will go with C
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Re: Technological improvements have made electric cars [#permalink] New post 03 Oct 2010, 02:31
However, the threshold of economic viability for electric cars (that is, the cost of running an electric car compared to a gasoline powered car) has remained unchanged.
Here it is telling about the running cost(efficiency) of car

(A) The cost of manufacturing gasoline-powered cars has fallen dramatically. Question is not asking anything about manufacturing

(B) The reduction in the cost of manufacturing electric cars has occurred despite increased raw material costs for those cars.Question is not asking anything about manufacturing
(C) Technological changes have increased the efficiency of gasoline-powered cars.Here it is telling about efficiency and that too about the increased efficiency of the Gasoline car and in other way explaining the reason too.

(D) Most electricity is generated by coal-fired or nuclear, rather than oil-fired, power plants. Nothing related to the question.

(E) When the price of oil increases, reserves of oil not previously worth exploiting become economically viable.Nothing related to the question.
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Re: Technological improvements have made electric cars [#permalink] New post 03 Oct 2010, 10:51
RGM wrote:
C over A. With A, manufacturing costs might be down but you're not sure what costs the consumer is facing.


I think thats the most crisp reasoning as to why A should not be the answer. And more over the even the text in bracket highlights that the questions revolves around operating efficiency.
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Re: Technological improvements have made electric cars   [#permalink] 03 Oct 2010, 10:51
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