correct answer should be E.
A. doesn't fit since if they relied solely on government pension, the 20% increase would improve their financial well-being.
B. doesn't fit because even if banks are slow in cashing pension checks, the elderly would still be receiving 20% more income than before and thus should be better off financially.
C. doesn't fit because the passage specifically states that inflation has been negligible - that is, there has been little to no inflation - so even if the elderly tended to buy goods whose prices rose a lot with inflation, it doesn't apply here since there is little/no inflation.
D. doesn't fit since even if there is a record high number of poor, elderly Runagians, the government raised EVERY elderly Runagian's pension income by 20%, so all of them would be better off financially.
E. CORRECT answer. before the pension increase, elderly Runagians' children would give them enough financial support up to the point that they could live comfortably. Now, with the pension increase of 20%, the children will still only give as much support as the elderly need to live comfortably. Thus, pension income has increased, but support from children decreased, and the elderly are still at the same level of "living comfortably," and are not better off than they were before the increase.