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The United States government uses only a household's cash
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sairam595
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Re: CR Revision: The United States government uses only a household’s cash [#permalink] New post  11 Apr 2016, 18:49
smartyman wrote:
This is my interpretation:

P1: The United States government uses only a household’s cash income before taxes to determine whether that household falls below the poverty line in a given year; capital gains, non-cash government benefits, and tax credits are not included. However, yearly cash income is not a fool-proof measure of a given household’s disposable income.

Cash ---> Government policy (premise)

Conclusion:Others ---> Cash ---> Government Policy change (Need from Question Stem)
Others ------> Government policy change (Strengthen)

1. Needs to shows that Other factors influence Cash, therefore government policy needs to change
2. Needs to shows that Other factors ---> Government policy change i.e. Government assumes cash (before tax) is the only determinant, others are not.

A. strengthens the fact that cash is sufficient for government to retain its policy (weaken policy needs changes)
Cash before tax = yearly cash income = Disposable income >>>>>> Other factors ---> Other factors negligible[/color]


smartyman Thank you..got it now!! :)
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The United States government uses only a household's cash [#permalink] New post  23 Oct 2016, 00:56
honchos wrote:
I have read all the discussions, D still seems to be the better answer.

On what grounds can we confirm that irrigation gain is minimized to an extent that it will double the profit?


IMO, Opn D is partly a strengthener. In the absence of opn C, I would choose Opn D. But in such questions where opns are really close, try to stop for 5 seconds and ask 'which of the opns is valid?' Opn D just talks about the preference of some economists, but is the opn strong enough to put some concrete results and prove that the conclusion is true? No.
Opn C does that. The keyword here in opn C is Established.
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Re: The United States government uses only a household's cash [#permalink] New post  02 May 2017, 23:13
For example, retirees who live off of capital gains from an extensive portfolio could earn hundreds of thousands of dollars, yet be classified by the government as living in "poverty" because this income is not included in the calculation.

such Retirees are not actually poor (due to capital gains on the portfolio they have ) but according to government calculation, they are.

Out of C & D , C provides supports for the above
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Re: The United States government uses only a household's cash [#permalink] New post  30 Apr 2019, 02:00
GMATNinja VeritasKarishma Bunuel
According to me E also provides a point to prove that the Govt. does some erroneous calculation...So why is it not the correct answer...Further regarding C, how can we take the study of the private sector to be genuine and not having any flaw?

If we can prove that the Govt system has its own inherent problems, isn't it sufficient to prove that the method needs to be altered. It seems better than to mention another study whose validity/efficiency is not known....
Please explain..
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Re: The United States government uses only a household's cash [#permalink] New post  30 Apr 2019, 23:56
Hi, I was confused between C & E and ended up choosing E.

My concern with option C is what is a % difference between the studies conducted via private sector & government.

This difference is not mentioned here, if the difference is pretty slim or marginal, then ruling this as a reason that the government needs to change its calculation method will not make sense.
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Re: The United States government uses only a household's cash [#permalink] New post  01 May 2019, 03:07
honchos wrote:
I have read all the discussions, D still seems to be the better answer.

On what grounds can we confirm that irrigation gain is minimized to an extent that it will double the profit?


but the option that validate the contention is C, as clearly saying that the number of actual poor is less than the calculation method shows
where as as per the option D, there are different methods available but that is not clearly saying the conventional method is at flaw.
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Re: The United States government uses only a household's cash [#permalink] New post  21 Jul 2019, 15:37
The argument is that the government's calculation is inaccurate and needs to be changed.
This is largely supported by the fact this calculation only takes into account cash income, not capital gains/ non-cash benefits.

We are then asked to validate this argument
A is incorrect - it actually provides grounds that the calculation is reasonably accurate
B is incorrect - i don't see how this is conducive to the contention as we are comparing one crappy calculation to another.
C is correct as it provides multiple pieces of evidence ("most...studies") that highlights the difference in question
D is incorrect - it is completely beside the point. We want to highlight that the current calculating is wrong, not that another calculation is better.
E is incorrect as it merely tells us information already known and presented in the argument.
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