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

 It is currently 01 May 2016, 21:10

### 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

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

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# Which of the following most logically completes the passage?

Author Message
TAGS:

### Hide Tags

Intern
Joined: 19 Aug 2012
Posts: 18
Followers: 0

Kudos [?]: 21 [1] , given: 10

Which of the following most logically completes the passage? [#permalink]

### Show Tags

20 Dec 2012, 23:38
1
KUDOS
5
This post was
BOOKMARKED
00:00

Difficulty:

75% (hard)

Question Stats:

42% (02:08) correct 58% (01:15) wrong based on 229 sessions

### HideShow timer Statictics

Which of the following most logically completes the passage?
Concerned about financial well-being of its elderly citizens, the government of Runagia decided two years ago to
increase by 20 percent the government-provided pension paid to all Runagians over 65. Inflation in the
intervening period has been negligible, and the increase has been duly received by all eligible Runagians.
Nevertheless, many of them are no better off financially than they were before the increase, in large part
because ________.
A. They rely entirely on the government pension for their income
B. Runagian banks are so inefficient that it can take up to three weeks to cash a pension check
C. They buy goods whose prices tend to rise especially fast in times of inflation
D. The pension was increased when the number of elderly Runagians below the poverty level reached an all-time
high
E. In Runagia children typically supplement the income of elderly parents, but only by enough to provide them with
a comfortable living

[Reveal] Spoiler: OA
Intern
Status: Edge of Extinction
Joined: 09 Sep 2012
Posts: 40
Followers: 0

Kudos [?]: 19 [10] , given: 29

Re: Complete the argument - confusing reasoning.. [#permalink]

### Show Tags

21 Dec 2012, 01:01
10
KUDOS
1
This post was
BOOKMARKED
Which of the following most logically completes the passage?
Concerned about financial well-being of its elderly citizens, the government of Runagia decided two years ago to increase by 20 percent the government-provided pension paid to all Runagians over 65. Inflation in the intervening period has been negligible, and the increase has been duly received by all eligible Runagians. Nevertheless, many of them are no better off financially than they were before the increase, in large part because ________.

A. They rely entirely on the government pension for their income. If they relied entirely on pension for their income, they would be better off financially. Ex: $200 before,$ 240 now. So better off. Incorrect.

B. Runagian banks are so inefficient that it can take up to three weeks to cash a pension check. With the increase, the pensioners are better off, because getting an amount late doesn't mean the receiver is worse off. The amount is coming in at set intervals. Ex: $200 3 weeks late before,$240 3 weeks late now. So better off. Incorrect.

C. They buy goods whose prices tend to rise especially fast in times of inflation. Even assuming the prices of goods the pensioners buy rise faster than inflation (which is negligible), this still doesn't indicate that the rise in cost of goods they buy definitely nullified the 20% rise in pension they got 2 years ago. Incorrect.

D. The pension was increased when the number of elderly Runagians below the poverty level reached an all-time high. Has no relationship to pensioners not being better off today than they were before the 20% rise in pensions. Incorrect.

E. In Runagia children typically supplement the income of elderly parents, but only by enough to provide them with a comfortable living. Bingo! Children would decrease their support if the pensions increased, thereby the pensioners would be no better off than they were before the pension increase. Ex: $200 before ($100 pension, $100 children),$200 now ($120 pension,$80 children). Correct.

Remember: No better off financially means: Financially worse off OR at the same level.

Hope this helped. Thanks for sharing.
_________________

The only ability the GMAT is an indicator of...is the ability to do well on the GMAT.

Current Student
Status: Final Lap Up!!!
Affiliations: NYK Line
Joined: 21 Sep 2012
Posts: 1095
Location: India
GMAT 1: 410 Q35 V11
GMAT 2: 530 Q44 V20
GMAT 3: 630 Q45 V31
GPA: 3.84
WE: Engineering (Transportation)
Followers: 37

Kudos [?]: 439 [2] , given: 70

Re: Complete the argument - confusing reasoning.. [#permalink]

### Show Tags

21 Dec 2012, 11:17
2
KUDOS
Zenverse wrote:
Which of the following most logically completes the passage?
Concerned about financial well-being of its elderly citizens, the government of Runagia decided two years ago to increase by 20 percent the government-provided pension paid to all Runagians over 65. Inflation in the intervening period has been negligible, and the increase has been duly received by all eligible Runagians. Nevertheless, many of them are no better off financially than they were before the increase, in large part because ________.

A. They rely entirely on the government pension for their income. If they relied entirely on pension for their income, they would be better off financially. Ex: $200 before,$ 240 now. So better off. Incorrect.

B. Runagian banks are so inefficient that it can take up to three weeks to cash a pension check. With the increase, the pensioners are better off, because getting an amount late doesn't mean the receiver is worse off. The amount is coming in at set intervals. Ex: $200 3 weeks late before,$240 3 weeks late now. So better off. Incorrect.

C. They buy goods whose prices tend to rise especially fast in times of inflation. Even assuming the prices of goods the pensioners buy rise faster than inflation (which is negligible), this still doesn't indicate that the rise in cost of goods they buy definitely nullified the 20% rise in pension they got 2 years ago. Incorrect.

D. The pension was increased when the number of elderly Runagians below the poverty level reached an all-time high. Has no relationship to pensioners not being better off today than they were before the 20% rise in pensions. Incorrect.

E. In Runagia children typically supplement the income of elderly parents, but only by enough to provide them with a comfortable living. Bingo! Children would decrease their support if the pensions increased, thereby the pensioners would be no better off than they were before the pension increase. Ex: $200 before ($100 pension, $100 children),$200 now ($120 pension,$80 children). Correct.

Remember: No better off financially means: Financially worse off OR at the same level.

Hope this helped. Thanks for sharing.

Good Explanation Zen..........
really tough question.....Hey can you pls specify the source of the question.........
Intern
Joined: 19 Aug 2012
Posts: 18
Followers: 0

Kudos [?]: 21 [0], given: 10

Re: Complete the argument - confusing reasoning.. [#permalink]

### Show Tags

21 Dec 2012, 20:54
Zenverse wrote:
Which of the following most logically completes the passage?
Concerned about financial well-being of its elderly citizens, the government of Runagia decided two years ago to increase by 20 percent the government-provided pension paid to all Runagians over 65. Inflation in the intervening period has been negligible, and the increase has been duly received by all eligible Runagians. Nevertheless, many of them are no better off financially than they were before the increase, in large part because ________.

A. They rely entirely on the government pension for their income. If they relied entirely on pension for their income, they would be better off financially. Ex: $200 before,$ 240 now. So better off. Incorrect.

B. Runagian banks are so inefficient that it can take up to three weeks to cash a pension check. With the increase, the pensioners are better off, because getting an amount late doesn't mean the receiver is worse off. The amount is coming in at set intervals. Ex: $200 3 weeks late before,$240 3 weeks late now. So better off. Incorrect.

C. They buy goods whose prices tend to rise especially fast in times of inflation. Even assuming the prices of goods the pensioners buy rise faster than inflation (which is negligible), this still doesn't indicate that the rise in cost of goods they buy definitely nullified the 20% rise in pension they got 2 years ago. Incorrect.

D. The pension was increased when the number of elderly Runagians below the poverty level reached an all-time high. Has no relationship to pensioners not being better off today than they were before the 20% rise in pensions. Incorrect.

E. In Runagia children typically supplement the income of elderly parents, but only by enough to provide them with a comfortable living. Bingo! Children would decrease their support if the pensions increased, thereby the pensioners would be no better off than they were before the pension increase. Ex: $200 before ($100 pension, $100 children),$200 now ($120 pension,$80 children). Correct.

Remember: No better off financially means: Financially worse off OR at the same level.

Hope this helped. Thanks for sharing.

I think i get it now.. the last option clearly states that if the parents were getting $100 before for "comfortable living" from their children and the pension provided them$20 after the increase, the overall income would STILL REMAIN $100 as the children would now only supplement the income with$80.

Sounds good mate! cheers for the detailed reply!
GMAT Club Legend
Joined: 01 Oct 2013
Posts: 7376
Followers: 697

Kudos [?]: 139 [0], given: 0

Re: Which of the following most logically completes the passage? [#permalink]

### Show Tags

22 Jan 2014, 09:27
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.
GMAT Club Legend
Joined: 01 Oct 2013
Posts: 7376
Followers: 697

Kudos [?]: 139 [0], given: 0

Re: Which of the following most logically completes the passage? [#permalink]

### Show Tags

02 Mar 2015, 05:39
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.
Manager
Joined: 27 Jun 2014
Posts: 78
Location: New Zealand
Concentration: Strategy, General Management
GMAT 1: 710 Q43 V45
GRE 1: 324 Q161 V163
GRE 2: 325 Q159 V166
GPA: 3.6
WE: Editorial and Writing (Computer Software)
Followers: 1

Kudos [?]: 38 [0], given: 125

Re: Which of the following most logically completes the passage? [#permalink]

### Show Tags

02 Mar 2015, 14:47
arjun206 wrote:
Which of the following most logically completes the passage?
Concerned about financial well-being of its elderly citizens, the government of Runagia decided two years ago to
increase by 20 percent the government-provided pension paid to all Runagians over 65. Inflation in the
intervening period has been negligible, and the increase has been duly received by all eligible Runagians.
Nevertheless, many of them are no better off financially than they were before the increase, in large part
because ________.
A. They rely entirely on the government pension for their income
B. Runagian banks are so inefficient that it can take up to three weeks to cash a pension check
C. They buy goods whose prices tend to rise especially fast in times of inflation
D. The pension was increased when the number of elderly Runagians below the poverty level reached an all-time
high
E. In Runagia children typically supplement the income of elderly parents, but only by enough to provide them with
a comfortable living

What an awesome question. I got it wrong (selected D although it made no sense), but E is very much the correct answer on closer inspection.
_________________

"Hardwork is the easiest way to success." - Aviram

One more shot at the GMAT...aiming for a more balanced score.

Re: Which of the following most logically completes the passage?   [#permalink] 02 Mar 2015, 14:47
Similar topics Replies Last post
Similar
Topics:
Which of the following most logically completes the passage? 4 26 Jul 2012, 03:19
9 Which of the following most logically completes the passage? 15 19 Nov 2009, 03:31
13 Which of the following most logically completes the passage? 22 16 Nov 2009, 04:37
Which of the following most logically completes the passage? 3 02 Aug 2008, 21:02
which of the following most logically completes the passage? 1 19 Jun 2008, 14:28
Display posts from previous: Sort by