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The correct response is (C). The sentence is stating that, as the cost of utilities skyrocket,
people will need homes that are smaller and more energy-efficient.

Response (A) is incorrect because “will explode” is in the future perfect tense and “precipitates”
is a plural verb in the present tense.

Response (B) is incorrect because “will explode” is in the future perfect tense and “precipitate” is
a singular verb in the present tense.

Response (D) is incorrect because the verb “precipitates” is in the present tense and because
the first clause of the sentence makes sense by itself. Therefore, the word “which” is needed
rather than “that.”

Response (E) is incorrect because, although “will precipitate” is the correct tense, the second
clause should begin with “which” rather than “that” because the first clause expresses a
complete idea.
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GMATMBA5
That + preceding comma = wrong. D and E eliminated.

X = Tiny house movement will explode
Y = precipitate demand for homes....

Y will happen only after X happens. X is in future tense therefore Y will also happen in future after X. Eliminate A and B as they have present tense.

Ans - C

----------------------------
Kudos if helpful!

I think it should be the other way around. The demand for homes causes the movement to explode, no?
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why is option B incorrect....may be ....the author is defining a fact that bills precipitate the demand for homes that are not only smaller in area but much more energy efficient.

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Gknight5603
why is option B incorrect....may be ....the author is defining a fact that bills precipitate the demand for homes that are not only smaller in area but much more energy efficient.

Posted from my mobile device

The main issue is the lack of the future tense 'will'.
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Automated notice from GMAT Club VerbalBot:

A member just gave Kudos to this thread, showing it’s still useful. I’ve bumped it to the top so more people can benefit. Feel free to add your own questions or solutions.

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