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While Governor Verdant has been in office, the state s

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While Governor Verdant has been in office, the state s [#permalink] New post 29 Apr 2012, 07:29
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51% (02:21) correct 49% (01:34) wrong based on 145 sessions
While Governor Verdant has been in office, the state’s budget has increased by an average of 6 percent each year. While the previous governor was in office, the state’s budget increased by an average of 11.5 percent each year. Obviously, the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.
Which of the following, if true, would most seriously weaken the conclusion drawn above?
(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term.
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.====
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year.
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending.
[Reveal] Spoiler: OA

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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 29 Apr 2012, 07:30
My answer was B ,
Can't think of reasons for A , People please suggest.
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 29 Apr 2012, 11:05
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+1 A

I think this example could help to understand the answer.

Let's assume that both governors had to buy 100 cans of Coke for their office employees. Also, let's assume that at the beginning the price of each can is $ 1 (total: $100).

Now, during the previous governor's period the inflation was 11.5%. So, he had to pay $ 111.5 for the 100 bottles.
Ok, suppose that the price is again $1, but the inflation of the current governor's period was 3%. So, he paid $ 103.

BUT, in both cases, both bought 100 cans!

So, we cannot conclude that the budgets were austere.

Hope it helps.
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 29 Apr 2012, 16:09
(A) The rate of inflation in the state averaged 10 percent each year during the previous governor’s term in office and 3 percent each year during Verdant’s term. Correct. Economics 101, increased inflation causes a decrease in buying power
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office. No tie to conclusion
(C) In each year of Verdant’s term in office, the state’s budget has shown some increase in spending over the previous year. Strengths the conclusion
(D) During Verdant’s term in office, the state has either discontinued or begun to charge private citizens for numerous services that the state offered free to citizens during the previous governor’s term.No tie to conclusion and would strengthen the argument
(E) During the previous governor’s term in office, the state introduced several so-called “austerity” budgets intended to reduce the growth in state spending. opposite answer
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 02 May 2012, 03:05
Can someone please explain why it is not B and why it is A?
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 02 May 2012, 04:04
just wondering about c. It states that the spending increased each year during Verdant's term in office.

The question states, spending decreased and the cause for this was Verdant's budget.

Doesn't the increased spending each year negate this?

Or is the option actually attacking the evidence as opposed to the conclusion?

In which case, I diagree, respectfully with a previous post that c "strengthens the conclusion". I could be wrong, please help.

I can see how A could be the right answer but do not agree that C strengthens the conclusion.
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 02 May 2012, 04:12
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sidhu09 wrote:
Can someone please explain why it is not B and why it is A?


The conclusion is:
the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.
our task is to find what weakens it. In other words, what was the reason for lower relative (in %) state spending growth.

B is not correct, beacuse it gives information about revenues, not about spendings. So it is unrelated to the conclusion.
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.

A is correct, because it stays that the spendings are not lower compared to the previuos governor. It is just a matter of inflation.
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 03 May 2012, 19:59
Thank you JubtaGubar. Nice explanation.
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Re: While Governor Verdant has been in office, the state s [#permalink] New post 16 Nov 2013, 13:52
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Re: While Governor Verdant has been in office, the state’s [#permalink] New post 18 Nov 2013, 08:14
JubtaGubar wrote:
sidhu09 wrote:
Can someone please explain why it is not B and why it is A?


The conclusion is:
the austere budgets during Governor Verdant’s term have caused the slowdown in the growth in state spending.
our task is to find what weakens it. In other words, what was the reason for lower relative (in %) state spending growth.

B is not correct, beacuse it gives information about revenues, not about spendings. So it is unrelated to the conclusion.
(B) Both federal and state income tax rates have been lowered considerably during Verdant’s term in office.

A is correct, because it stays that the spendings are not lower compared to the previuos governor. It is just a matter of inflation.

I think there is confusion...
State budget means the state spending (from what I understand now).
Upon first reading, I thought state budget was state income.....
Re: While Governor Verdant has been in office, the state’s   [#permalink] 18 Nov 2013, 08:14
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