So, what happened?
- There's a trend that US residents over 60 years old migrate to small towns and rural areas.
- But a population study shows that there's actually the opposite - people migrate from rural to urban areas.
- However, there's another plot twist. The study is erroneous because the researchers counted immigrants from abroad as residents that migrated to cities/urban areas.
Prethinking: If people from abroad inflated the number of people that move to cities, a significant part of those immigrants must have settled down in cities/urban areas (which contributed to the reversal of the trend).
Quote:
(A) In 1984 the majority of people coming to the United States from abroad were over the age of sixty.
We know that people from abroad in general were counted as intra-US migrants, but we can't infer how old they were. We just know, that the researchers made an error counting this group as intracountry migrants.
Quote:
(B) In 1984 fewer United States residents over the age of sixty changed residence than in any of the twenty years prior to 1984.
The reversal of trend was because of counting immigrants as US intracountry migrants and we know nothing about changes among US residents in 1984 (let alone changes in each year prior to 1984).
Quote:
(C) People over the age of sixty who in 1984 came to the United States from abroad did not settle predominantly in small towns and rural regions.
If those people did not settle predominantly in small towns and rural regions, they must have settled in urban areas. That's what've prethought. Keep it.
Quote:
(D) The microdata sample for 1984 that was used in the demographic study cited was too small to allow any meaningful projections.
The passage refutes that by stating: "microdata sample;' a sample just large enough to allow reasonably accurate projections". Eliminate (D).
Quote:
(E) The twenty-year trend mentioned in the passage was due chiefly to moves over relatively short distances, mostly within the same state.
I don't see how it's possible to infer anything about distances and about differences between intrastate and interstate migration. Cross it off.
(C) is the answer.

PS Shouldn't there be a colon instead of semicolon after "microdata sample"? And isn't adverb "chiefly" slightly misplaced in answer choice (E)?
carcass please correct me if I'm wrong.