A. They rely entirely on the government pension for their income
Then they should be better off than before.
B. Runagian banks are so inefficient that it can take up to three weeks to cash a
This will have been true before and after the increase: this should not affect how well off the pensioners are.
C. They buy goods whose prices tend to rise especially fast in times of
We're told there has been negligible inflation, so this is irrelevant.
D. The pension was increased when the number of elderly Runagians below
the poverty level reached an all-time high
This would suggest a reason the pensions were increased, not why pensioners were no better off after the increase.
E. In Runagia children typically supplement the income of elderly parents, but
only by enough to provide them with a comfortable living
Now we have a good answer. If the pension was not the only source of income, we need to consider whether the pension increase led to a decrease in income from other sources. If children used to give pensioners more money before the increase than they do after, this would help to explain the given information.
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