Abolition of government regulation of airfares has increased competiti

Question

Abolition of government regulation of airfares has increased competition among airlines and thus will eventually lead to compromises in airline safety. Anxious to reduce fares in what has, as a result of deregulation, become a highly competitive market, airlines will be tempted to reduce costs by decreasing safety inspections and routine maintenance of aircraft.

Which of the following, if true, would cast the most serious doubt on the prediction that deregulation of airfares will ultimately compromise airline safety?

(A) Consumers select an airline as much on the basis of its safety record as on the basis of its fares.

(B) There are a number of mechanical problems that cannot be detected in the routine inspection of aircraft.

(C) The amount of commercial air traffic has increased significantly since the regulation of airfares was abolished.

(D) The number of airline bankruptcies has increased since the regulation of airfares was abolished.

(E) When airfares were regulated, airlines were more inclined to invest in the development of new aircraft.

pikolo2510 · Answer

Option A.

If consumers select the aircraft based on the safety record, then the airlines have to give importance to safety and maintenance of aircrafts

or else they may lose consumers because consumers won't prefer them and will travel with another competitor

aaba · Answer

First, the argument looks weird b/c both 2 sentences talk about the same thing.
the conclusion is the key that ones should pay attention to. For this reasons, other options except A are all out of scope.

sahilhafnia · Answer

Airlines will face competition from each other, so will need to reduce prices for consumers to attract them and stay in business. They will need to pass on the impact of this lowered revenue to the various costs, safety cost being one of them. We need to show that such an impact on safety cost might not be exerted. 
I could not imagine any weaken statement as such and so moved onto the options after getting the jist of the passage and the idea that will be brought forward by a weaken statement.

A) If consumers look and weigh both cost and safety record of an airline, it becomes difficult for the airline to let go on safety inspections because this might make its safety record go bad. The consumers will then not fly with it and that is something that surely the airline won't want. Its a possible weaken statement as it gives us an idea that safety costs might not be reduced.

B) Agreed, but even if we know that not all mechanical problems cannot be found in a safety inspection, does it mean that safety inspections are not required. Also, does this knowledge prove that the airline will not be investing in safety just because not all problems will be found. Its difficult to predict what decision the airline will take. Incorrect choice.

C) This option only retells us that now there are many planes flying in air and provides hint that the competition amongst airlines may increase. This fact is already known to us. There exists no link to the conclusion. Incorrect choice.

D) Again, this option provides hint that the competition amongst airlines is too bad. Is it not probable then that safety cost might be reduced. I think it sort of supports the conclusion made. Incorrect choice.

E) What was the interest of airlines in the past should logically have no impact on what it will do in a situation of the present. Certainly has no link and is incorrect.

Correct choice should be A.

egmat · Answer

The correct answer - A

Passage Analysis: 
- Abolition of regulation of airfares (prices) by the government has increased competition among airlines
- Author's claim: This will eventually lead to compromises in airline safety
- Author's logic: Anxiety to reduce fares in a competitive market will tempt airline companies to reduce cost by compromising safety (lesser safety inspections, less routine maintenance work)

What do we need to do? Weaken the prediction that de-regulation of airfares will ultimately compromise airline safety?

Prethinking: 
What new information will weaken our belief in the notion that with abolition of fare regulation, airline companies will compromise airline safety?

The core logic of the author is that airlines will reduce fares by compromising safety. The underlying reason for reducing fares is to attract more customers. But what if customers are at least as safety conscious as they are price conscious, if not more?

In such a case, safety aspects are the customers top priority. This would reduce our belief that airlines will compromise safety just so as to be able to reduce fares.

Option Choice Analysis:

(A) Consumers select an airline as much on the basis of its safety record as on the basis of its fares. 
Correct. as per prethinking. This reduces our belief in the given prediction.

(B) There are a number of mechanical problems that cannot be detected in the routine inspection of aircraft.
This tells us that even routine inspections are not perfect. But does this tell us that routine inspections are useless, better avoided (companies may as well save the cost in such a case)? No. Even given option B, several other safety issues may be avoided by doing routine inspections, which indicates that routine inspections are useful. It strengthens the belief that companies will continue to do routine inspections, rather than weaken.

(C) The amount of commercial air traffic has increased significantly since the regulation of airfares was abolished.
This only indicates that more customers may be using planes (assuming the increase in air traffic corresponds to an increase in customer demand). But this tells us nothing about the safety aspect, and whether safety was compromised to save costs. Irrelevant to the conclusion

(D) The number of airline bankruptcies has increased since the regulation of airfares was abolished.
This may at some level indicate that airline companies, in a bid to be competitive may have slashed prices to kill out competition, leading to some bankruptcies. But this again tells us nothing about the safety aspect. Was safety compromised to reduce cost? Which is why it is not relevant to the conclusion.

(E) When airfares were regulated, airlines were more inclined to invest in the development of new aircraft.
This tells us where the airlines wanted to invest their money. This is not really related to where the airlines wanted to reduce costs, which is what the argument is all about. Irrelevant.

Hope this helps.
Regards
Harsha

junii · Answer

Don't really convinced with How B is not the correct choice.
Because conclusion if safety is comprised because of reduced inspection, in B it says inspection do not really detect all problems.
So customer safety is not really compromised isn't it?

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Abolition of government regulation of airfares has increased competiti

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