As urbanization continues to accelerate, many urban areas in develop

Question

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Passage # 36, Date: 18-Apr-2020
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As urbanization continues to accelerate, many urban areas in developing countries are becoming densely populated and choked with traffic and air pollution. This expanding urbanization coincides with the rise of a suburban middle class made up of professionals who commute into the urban core each day. This new class of workers, college educated and computer literate, has chosen to stay at home, instead of moving to North America or Europe for work. However, if developing countries cannot find a way to manage their traffic congestion, they risk losing out to those places that can. One solution is congestion pricing. This scheme, implemented in various forms by cities such as London and Singapore, charges drivers a fee to enter a given area during peak traffic times. By implementing congestion pricing, developing countries could reduce fuel consumption and air pollution, decrease the economic loss due to wasted time spent in traffic, and raise revenue that could be used to develop infrastructure such as mass transit.
 
Congestion pricing has proven to be more than just a form of traffic mitigation; it has made cities more livable. Since setting up its “Area Licensing Scheme” in the 1970s, Singapore has been transformed. Traffic jams have virtually disappeared as the number of vehicles entering the congestion pricing area has declined by 76%. Since 2003 when London introduced its system, average commuting times have declined by 14%. At the same time, public transportation usage and bicycle ridership have increased sharply in both cities and air pollution has been dramatically reduced.
 
Congestion pricing advocates characterize what has happened in London and Singapore as a “virtuous cycle”—a positive feedback loop with beneficial externalities. When drivers are charged a fee, many of them will choose to take public transportation or to bicycle instead. This reduces the number of vehicles on the road. At the same time, those who decide that it is worth it to drive and pay the fee will spend less time in stop and go traffic. Car drivers and bus passengers experience the benefit of reduced commuting times and both cars and buses waste less fuel idling in stalled traffic. Meanwhile, the money raised can be used to fund the expansion of public transportation and improvement of infrastructure such as roads and bicycle paths. These improvements in turn reduce commuting times and make it more convenient to take public transportation.
 
Critics have argued that congestion pricing could actually have the opposite effect of that intended. Citing an economic principle known as “induced demand,” they contend that the congestion pricing could become a victim of its own success. As traffic eases, driving becomes a more desirable option, thus leading to the same traffic problems as before. However, these critics forget that “ there’s no such thing as a free lunch. ” Congestion pricing forces drivers to bear the true economic costs of their actions. While some may choose to continue driving, that choice now comes with a price tag and the money raised will benefit those who choose not to.    1 
 1. The passage suggests that the author believes traffic jams to

A. occur more frequently in developing countries than in North America or Europe
B. be an unavoidable result of urbanization
C. be the result of the principle of induced demand
D. influence characteristics of a city besides transportation
E. indicate that an urban area is developing a suburban middle class

2 
 2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?

A. A law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, resulting in more frequent accidents, which reduces overall demand for high-speed rail.
B. An ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents.
C. A cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones.
D. A county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well.
E. A bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank.

3 
 3. The author most likely included the quotation "there's no such thing as a free lunch." ( Highlighted ) in order to

A. accuse the critics of congestion pricing of attempting to avoid paying their fair shares
B. state a well-known axiom that undermines the previously mentioned economic principle
C. indicate that critics of congestion pricing may have based their conclusions on insufficient information
D. offer a possible solution to the problem outlined in the previous sentence by the critics of congestion pricing
E. argue that an economic principle, while broadly applicable, is not relevant to transportation issues

4 
 4. The author would be most likely to agree with which of the following statements?

A. Congestion pricing is generally consistent with the economic principle of induced demand.
B. Cities that have implemented congestion pricing have not done so in a uniform manner.
C. Congestion pricing is the best solution available to developing countries facing traffic problems.
D. Cities that have implemented congestion pricing have generally been successful at reducing traffic.
E. Before implementing congestion pricing, London experienced frequent traffic jams.

Sajjad1994 · Accepted Answer

Official Explanation

1. The passage suggests that the author believes traffic jams to

Difficulty Level:   700

Explanation

The phrase the passage suggests indicates that this is an inference question. The task of the question is indicated by the word suggests. The subject of the question is traffic jams. In order to answer the question, determine what the passage states about the subject and evaluate the answer choices, eliminating any choice which cannot be supported by the text. In the second paragraph, the passage states that traffic jams   have virtually disappeared as the number of vehicles entering the congestion pricing area has declined by 76%. Since 2003 when London introduced its system, average commuting times have declined by 14%. At the same time, public transportation usage and bicycle ridership have increased sharply in both cities and air pollution has been dramatically reduced.

Choice A:  No. This choice features the recycled language developing countries, North America and Europe, but there is no such comparison regarding the frequency of traffic jams relative to these regions.

Choice B:  No. This choice features the recycled language urbanization and uses the extreme language unavoidable. In the first paragraph, the author states that one solution   is congestion pricing. If there is one possible solution, then the problem is not unavoidable.

Choice C:  No. This choice is a reversal that features the recycled language induced demand. In the last paragraph, the author mentions that critics cite an economic principle known as  “induced demand,”  and contend that the congestion pricing could become a victim of its own success. However, the author counters the critics by stating,  “there’s no such thing as a free lunch,”  and that congestion pricing forces drivers to bear the true economic costs of their actions. Therefore, the author does not believe traffic jams to be the result of induced demand.

Choice D:  Correct. If traffic jams   have virtually disappeared as the number of vehicles entering the congestion pricing area has declined by 76% and average commuting times have declined by 14% in London while at the same time public transportation usage and bicycle ridership have increased sharply in both cities, and air pollution has been dramatically reduced, then that demonstrates that traffic jams influence characteristics of a city besides transportation.

Choice E:  No. This choice features the recycled language suburban middle class. The author states in the first paragraph that this expanding urbanization coincides with the rise of a suburban middle class made up of professionals who commute into the urban core each day, but there is no indication that traffic jams indicate that an urban area is developing a suburban middle class.

The correct answer is choice D.

2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?

Difficulty Level:   750

Explanation

The phrase conforms most closely to the pattern indicates that this is an application question. The task of the question is indicated by the word conforms. The subject of the question is the pattern described in the third paragraph. In order to answer the question, determine the pattern of the information described in the third paragraph. Then, find an answer choice that conforms to the pattern. The third paragraph of the passage states that congestion pricing advocates characterize what has happened in London and Singapore as a  “virtuous cycle” —a positive feedback loop with beneficial externalities. When drivers are charged a fee, many of them will choose to take public transportation or to bicycle instead. This reduces the number of vehicles on the road. At the same time, those who decide that it is worth it to drive and pay the fee will spend less time in stop and go traffic. Car drivers and bus passengers experience the benefit of reduced commuting times and both cars and buses waste less fuel idling in stalled traffic. Meanwhile, the money raised can be used to fund the expansion of public transportation and improvement of infrastructure such as roads and bicycle paths. These improvements in turn reduce commuting times and make it more convenient to take public transportation. Evaluate the answer choices, eliminating any choice which does not match the pattern of defining a cause and effect phenomenon that results in a  “virtuous cycle”  before describing both direct consequences and extended benefits.

Choice A:  No. This choice is a reversal. That a law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, and results in more frequent accidents, which reduces overall demand for high-speed rail lists no benefits, only negatives. This does not match the pattern of defining a cause and effect phenomenon that results in a  “virtuous cycle”  before describing both direct consequences and extended benefits.

Choice B:  No. This choice is a reversal. That an ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents, provides no direct causation link between the parking ordinance and the outcome of more people visiting park. This does not match the pattern of defining a cause and effect phenomenon that results in a  “virtuous cycle”  before describing both direct consequences and extended benefits.

Choice C:  No. This choice is a reversal. That a cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones, provides no extended benefits beyond those enjoyed directly by the cell phone company. This does not match the pattern of defining a cause and effect phenomenon that results in a  “virtuous cycle”  before describing both direct consequences and extended benefits.

Choice D:  Correct. That a county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well, matches the pattern by defining a cause and effect phenomenon that results in a  “virtuous cycle”  before describing both direct consequences and extended benefits.

Choice E:  No. This choice is a reversal. That a bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank lists no benefits, only negatives. This does not match the pattern of defining a cause and effect phenomenon that results in a  “virtuous cycle”  before describing both direct consequences and extended benefits.

The correct answer is choice D.

3. The author most likely included the quotation "there's no such thing as a free lunch." (Highlighted) in order to

Difficulty Level:   700

Explanation

This is a purpose question, as indicated by the phrase in order to. The subject of the question is the quotation  “there’s no such thing as a free lunch.”  The task of the question is to determine why the author uses this phrase. To answer the question, determine why the author included the quotation, and then evaluate the answer choices eliminating any choice which does not match the author’s purpose. To begin the last paragraph, the author mentions critics, citing an economic principle known as  “induced demand,”  who contend that congestion pricing could become a victim of its own success and actually have the opposite effect of that intended. The author subsequently uses the phrase however, these critics forget that  “there’s no such thing as a free lunch,”  to contradict the position of these critics who say congestion pricing could ultimately lead to an increase in traffic.

Choice A:  No. There is no such comparison regarding the critics and how they interact with congestion pricing themselves. The comparison at issue is whether congestion pricing will result in increased traffic.

Choice B:  No. This is a memory trap answer. Although there is a previously mentioned economic principle, that principle is not in any way undermined by the author. The author merely contradicts the idea that  “induced demand”  as it relates to congestion pricing will result in an increase in traffic.

Choice C:  Correct. Indicate that critics of congestion pricing may have based their conclusions on insufficient information reflects the idea in the passage that these critics forget that  “there’s no such thing as a free lunch.”  Following the quotation, the author provides the additional information that congestion pricing forces drivers to bear the true economic costs of their actions, and furthermore that choice now comes with a price tag to support his opposing view to contradict the critics.

Choice D:  No. This is a reversal. The problem that the critics have outlined –the idea that as traffic eases, driving becomes a more desirable option, thus leading to the same traffic problems as before–isn’t a problem at all according to the author. It therefore needs no solution. According to the author, while some may choose to continue driving, that choice now comes with a price tag.

Choice E:  This is a memory trap answer. Although there is an economic principle, the principle itself is not argued against by the author. The author merely contradicts the idea that  “induced demand”  as it relates to congestion pricing will result in an increase in traffic.

The correct answer is choice C.

4. The author would be most likely to agree with which of the following statements?

Difficulty Level:   750

Explanation

The phrase most likely agree with indicates that this is an inference question. The task of the question is indicated by the word agree. The subject of the question is the passage as a whole. To answer the question, evaluate the answer choices, eliminating any choice which cannot be supported by the text.

Choice A:  No. This choice features the recycled language economic principle and induced demand. It is also a reversal. According to the passage, critics cite induced demand as being consistent with congestion pricing, not the author.

Choice B:  Correct. That cities that have implemented congestion pricing have not done so in a uniform manner matches the author’s description of congestion pricing in the first paragraph as a scheme, implemented in various forms by cities such as London and Singapore, (that) charges drivers a fee to enter a given area during peak traffic times.

Choice C:  No. This choice features the extreme language best solution. In the first paragraph the author says one solution is congestion pricing, but does not explicitly state that it is the best solution.

Choice D:  No. This choice features the extreme language generally been successful. In the first paragraph, the author describes congestion pricing as a scheme, implemented in various forms by cities such as London and Singapore, (that) charges drivers a fee to enter a given area during peak traffic times, but never indicates if congestion pricing is generally successful beyond these two examples.

Choice E:  No. This choice features the recycled language London and the extreme language frequent traffic jams. In the first paragraph, the author describes congestion pricing as a scheme, implemented in various forms by cities such as London and Singapore, (that) charges drivers a fee to enter a given area during peak traffic times, but never discusses the frequency of London traffic jams prior to congestion pricing.

The correct answer is choice B.

Hope it helps

SiffyB · Answer

1. The passage suggests that the author believes traffic jams to
 
A. occur more frequently in developing countries than in North America or Europe
B. be an unavoidable result of urbanization
C. be the result of the principle of induced demand
  D. influence characteristics of a city besides transportation 
 E. indicate that an urban area is developing a suburban middle class

(A) Not stated in the passage. Infact it is stated that they have dealt with it effectively.
(B) It can be avoided using proper measures.
(C) Opposite of what the author believes.
(D) This is the correct answer. It can effect the pllution levels, behaviour/predicament of the commuters or people travelling to reach their offices, etc.
(E) Not necessarily. It may incdictae an urban area which is not developing a suburban middle class as well!

2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?
 
A. A law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, resulting in more frequent accidents, which reduces overall demand for high-speed rail.
B. An ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents.
  C. A cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones.  
D. A county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well.
E. A bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank.

We have to select a choice that completes the loop - brings us back to where we started. 
(A) This isn't even a virteous cycle - rather a vicious cycle. Definitely out.
(B) Though this is positive, it doesn't complete the loop for me. Let's look for a better option.
(C) This is the correct answer - completes the loop and has quite a bit of externalities!
(D) This is a very close answer. However, I can't say much about the externalities here. (C) is the better option.
(E) This is a negative choice. Can't be the correct answer.

3. The author most likely included the quotation "there's no such thing as a free lunch." (Highlighted) in order to
 
A. accuse the critics of congestion pricing of attempting to avoid paying their fair shares
B. state a well-known axiom that undermines the previously mentioned economic principle
  C. indicate that critics of congestion pricing may have based their conclusions on insufficient information 
 D. offer a possible solution to the problem outlined in the previous sentence by the critics of congestion pricing
E. argue that an economic principle, while broadly applicable, is not relevant to transportation issues

(C) is the correct choice as it effectively encapsulates what the author means by stating this adage. He feels that the critics forgot to take into account a very important information that the people wanting to drive on the empty roads will have to pay for the same.

4. The author would be most likely to agree with which of the following statements?
 
A. Congestion pricing is generally consistent with the economic principle of induced demand.
  B. Cities that have implemented congestion pricing have not done so in a uniform manner. 
 C. Congestion pricing is the best solution available to developing countries facing traffic problems.
D. Cities that have implemented congestion pricing have generally been successful at reducing traffic.
E. Before implementing congestion pricing, London experienced frequent traffic jams.

This is a rather tricky question, which some really tricky answer choices. Let's go through each one and find out why it may or may not be the correct answer.
(A) This is opposite of what the author believes. The critics of congestion pricing related this economic theory to the scenario at hand and the author is at odds with these critics. This is definitely not the correct choice.
(B) A sentence in the first paragraph states that "One solution is congestion pricing. This scheme, implemented in various forms by cities such as London and Singapore...". Since this sentence states that the scheme has been implemented in various forms, it means that this technique hasn't been implemented in a uniform manner. Thus, this can be the correct choice. Let's keep it till we find a better choice.
(C) "best" is too extreme a word and nowhere does the author qualify congestion pricing as the "BEST" solution ever of this problem. Out
(D) We can't generalise based on two examples. Also, we aren't sure whether London was able to reduce traffic. It was able to reduce "time" but we aren't certain about traffic. (does that make sense?)
(E) When I first read this choice, I felt this had to be the correct answer. Surprisingly, the statemet that London experienced "frequent" traffic jams has not been mentioned throughout the passage. Thus, this cannot be the correct choice.

bM22 · Answer

1. The passage suggests that the author believes traffic jams to

A. occur more frequently in developing countries than in North America or Europe
 B. be an unavoidable result of urbanization
 C. be the result of the principle of induced demand
D. influence characteristics of a city besides transportation
E. indicate that an urban area is developing a suburban middle class

Correct Answer B
 Explanation - Since the author mentions in the passage that: "As urbanization continues to accelerate, many urban areas in developing countries are becoming densely populated and choked with traffic and air pollution.", which clearly implies that traffic jams are an unavoidable result of urbanization.
Option A - incorrect, cannot be deduced as not mentioned in the passage.
Option C, D, E - incorrect, as out of scope for the question, as unrelated to the question.

2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?

A. A law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, resulting in more frequent accidents, which reduces overall demand for high-speed rail.
B. An ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents.
 C. A cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones.
 D. A county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well.
E. A bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank.

Correct Answer - C.
 Explanation - C is the only option most close what is mentioned in the 3rd para.
Options A,E are incorrect because the flow they have in opposite of what is asked for.
Option B - incorrect, because its incomplete.
Option D - incorrect, not correctly linked to the creation of jobs.

3. The author most likely included the quotation "there's no such thing as a free lunch." (Highlighted) in order to

A. accuse the critics of congestion pricing of attempting to avoid paying their fair shares
B. state a well-known axiom that undermines the previously mentioned economic principle
 C. indicate that critics of congestion pricing may have based their conclusions on insufficient information
 D. offer a possible solution to the problem outlined in the previous sentence by the critics of congestion pricing
E. argue that an economic principle, while broadly applicable, is not relevant to transportation issues

Confused b/w C & D, but here is my deduction.

Correct Answer - C
 Explanation - as its mentioned the mentioned in the passage just before the highlighted lines :"However, these critics forget that", implies that the argument of critics is lacking complete information and analysis of congestion pricing.
Option A, B, E are clearly incorrect, as they are out of scope for the passage, not mentioned in the passage.
Option D - incorrect, as what author offers is already discussed option in the passage, not a possible solution.

4. The author would be most likely to agree with which of the following statements?

A. Congestion pricing is generally consistent with the economic principle of induced demand.
B. Cities that have implemented congestion pricing have not done so in a uniform manner.
C. Congestion pricing is the best solution available to developing countries facing traffic problems.
 D. Cities that have implemented congestion pricing have generally been successful at reducing traffic.
 E. Before implementing congestion pricing, London experienced frequent traffic jams.

Correct Answer - D
 Explanation - as its mentioned in both 2nd and 3rd para, that congestion pricing has benefitted most of the cities it has been implemented in.
Option A, incorrect, as author does not agree with the same, as its mentioned in the last para of the passage.
Option B, incorrect, not mentioned in the passage.
Option C, E incorrect, as we cannot most definitely say that, as its not mentioned in the passage.

SSandy066 · Answer

1. The passage suggests that the author believes traffic jams to

A. occur more frequently in developing countries than in North America or Europe
B. be an unavoidable result of urbanization
C. be the result of the principle of induced demand
D. influence characteristics of a city besides transportation
E. indicate that an urban area is developing a suburban middle class- > Correct. Para 1"..This expanding urbanization coincides with the rise of a suburban middle class made up of professionals who commute into the urban core each day..."
 
2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?

A. A law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, resulting in more frequent accidents, which reduces overall demand for high-speed rail.
B. An ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents. ->Correct. As per Para 3 due to congestion cost-> effect-> Benefits 
C. A cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones.-
D. A county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well.
E. A bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank.

3. The author most likely included the quotation "there's no such thing as a free lunch." (Highlighted) in order to

A. accuse the critics of congestion pricing of attempting to avoid paying their fair shares
B. state a well-known axiom that undermines the previously mentioned economic principle.- > Correct
Para 4: Critics: Congestion pricing could actually have the opposite effect of that intended, As traffic eases, driving becomes a more desirable option, thus leading to the same traffic problems as before.
Author: "there’s no such thing as a free lunch.”- Congestion pricing forces drivers to bear the true economic costs. Drivers who choose to continue driving, that choice now comes with a price tag and the money raised will benefit those who choose not to. 
C. indicate that critics of congestion pricing may have based their conclusions on insufficient information
D. offer a possible solution to the problem outlined in the previous sentence by the critics of congestion pricing.
E. argue that an economic principle, while broadly applicable, is not relevant to transportation issues.

4. The author would be most likely to agree with which of the following statements?

A. Congestion pricing is generally consistent with the economic principle of induced demand.
B. Cities that have implemented congestion pricing have not done so in a uniform manner.
C. Congestion pricing is the best solution available to developing countries facing traffic problems. ->Correct.
Para1:"Implementing congestion pricing, developing countries could reduce fuel consumption and air pollution, decrease the economic loss due to wasted time spent in traffic, and raise revenue that could be used to develop infrastructure such as mass transit" 
D. Cities that have implemented congestion pricing have generally been successful at reducing traffic.
E. Before implementing congestion pricing, London experienced frequent traffic jams.

varun325 · Answer

1. The passage suggests that the author believes traffic jams to

A. occur more frequently in developing countries than in North America or Europe .
The author has not mentioned about the occurrence of traffic jams in Europe and north america
B. be an unavoidable result of urbanization 
The author has stated that the traffic jams could be avoided by congestion pricing.
C. be the result of the principle of induced demand. I can understand that induced demand is the demand created for travelling by less traffic roads.Now this is mentioned by critics but is also countered by the author. a
D. influence characteristics of a city besides transportation  ( correct)  . 
Some of the options are very close but I choose this one. The author has stated in the first para that " By implementing congestion pricing, developing countries could reduce fuel consumption and air pollution, decrease the economic loss due to wasted time spent in traffic, and raise revenue that could be used to develop infrastructure such as mass transit." The congestion pricing , primarily focused on reducing traffic jams , could also benefit in other issues which are the effects of traffic jams. 
E. indicate that an urban area is developing a suburban middle class. 
Traffic jams are not only created by the sub urban population .

2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?

Pattern in Para3. Charge a fee to counter the problem of traffic jams. This will result in less traffic .
A. A law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, resulting in more frequent accidents, which reduces overall demand for high-speed rail. Incorrect 
B. An ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents. 
( opposite effect)
C. A cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones. ( correct) 
D. A county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well.
E. A bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank.
opposite effect

3. The author most likely included the quotation "there's no such thing as a free lunch." (Highlighted) in order to

A. accuse the critics of congestion pricing of attempting to avoid paying their fair shares ( incorrect) not mentioned anywhere in passage
B. state a well-known axiom that undermines the previously mentioned economic principle.  ( correct) Author stated this to counter the critics reference to the economic principle of induced demand.
C. indicate that critics of congestion pricing may have based their conclusions on insufficient information. This is Close as critics have based their conclusion on the fact that less traffic leads to more drivers on the road . but I chose 'B'
D. offer a possible solution to the problem outlined in the previous sentence by the critics of congestion pricing. This no solution
E. argue that an economic principle, while broadly applicable, is not relevant to transportation issues. ( incorrect)
This is applicable in transportation also and the demand may increase but it comes with a price and the money collected could be used to build mass transit options.

4. The author would be most likely to agree with which of the following statements?

A. Congestion pricing is generally consistent with the economic principle of induced demand.It may be author never agreed or disagreed rather says if people choose to travel then they have to pay the price which will be used for building the infrastructure of mass transit.
B. Cities that have implemented congestion pricing have not done so in a uniform manner.
( the manner in which it was implemented is not mentioned in the passage)
C. Congestion pricing is the best solution available to developing countries facing traffic problems.( It is very extreme to say congestion pricing is the best solution)
D. Cities that have implemented congestion pricing have generally been successful at reducing traffic.  Correct 
( Examples of two cities have been illustrated and the data is provided to show that the congestion pricing has been effective to some extent in reducing the traffic)
E. Before implementing congestion pricing, London experienced frequent traffic jams. ( not mentioned)

Gowtham91 · Answer

Q1.
A. The first para indicates that a urban area in a developing country is developing a sub-urban middle class, who tend to stay back than migrating to developed countries such as North America or Europe. There is no mention that traffic jams are more frequent in developing countries than developed countries. 
B. Traffic jams is a result of urbanisation. But they are avoidable. On solution to avoid is by implementing "Congestion Pricing"
C. This is the belief of critics and not author. 
D. This is not mentioned. 
 E. Correct  Yes this is mentioned in the second sentence of first para. "This expanding urbanization coincides with the rise of a suburban middle class made up of professionals who commute into the urban core each day."

Q2.
"Virtuous cycle" as mentioned in para3, results in increase of intended benefit in every cycle/ process. 
A. The objective (A law designed to spur development of high-speed rail) is different from outcome (reduces overall demand for high-speed rail). Not in line with "virtuous cycle"
B. Only a cause (ordinance that prohibits cars from entering a park during the day) and effect (more people to visit the park and reduces the number of accidents.) is mentioned. There is no "virtuous cycle".
C. This is not a "virtuous cycle", but a cycle of negative effect. Capacity is increased to meet demand, which in turn increases demand, thereby company will have to increase capacity again. Its not an intended effect. 
 D. Correct  This is a perfect example of "Virtuous cycle" The intended benefit (creating technology jobs) is multi-folded. 
E. This is only cause and effect. Similar to option B.

Q3.
A. The passage does not talk about the critics share of congestion pricing payment. 
 B. Correct  "Induced Demand" is undermined by "there’s no such thing as a free lunch". This means any driver who decides to use his/her car will have to pay for his decision which will not lead to "induced demand" (increased traffic due to reduced commute time) as per the author of the passage. 
C. No. There's no discussion about critics being based on insufficient info. 
D. No. Highlighted sentence is not a solution for "induced demand"
E. The highlighted sentence mentions that induced demand is at a cost and not free. This option is not valid.

Q4.
A. No. As per the author, these are not consistent. 
B. This is not mentioned in the passage.
C. Para1 describes "congestion pricing" as one soultion and not the best solution.
 D. Correct  This is mentioned in para1 with examples of London and Singapore, along with statistics of traffic reduction. 
E. This is also true as per the author. Between options D & E, the author likely goes with D, because this is not explicitly mentioned.

AnirudhaS · Answer

Answers are in  bold .

1. The passage suggests that the author believes traffic jams to
A. occur more frequently in developing countries than in North America or Europe
 B. be an unavoidable result of urbanization 
C. be the result of the principle of induced demand
D. influence characteristics of a city besides transportation
E. indicate that an urban area is developing a suburban middle class

Explanations of question 1 
I have chosen the answer purely based on POE.
A - This is distorting the intended meaning of the author when he mentions America and Europe.
B - This is the best answer. The author says with accelerating urbanization, traffic jams increase hand in hand.
C - principle of induced demand means opposite effect of what is intended. Is traffic jam result of this principle, nope.
D - It probably influences the characteristics of the RESIDENTS OF THE CITY, not the city itself.
E - I don't like how this is worded. The choice reads -  urban area is developing a middle class . Can an urban AREA develop a MIDDLE CLASS? I mean it is a consequence of urbanization, but to say that is probably not correct.
_________________________________________________________________________________________________________________________________

2. Which of the following scenarios conforms most closely to the pattern described in the third paragraph?
A. A law designed to spur development of high-speed rail by limiting owner liability for accidents prompts companies to take fewer safety precautions, resulting in more frequent accidents, which reduces overall demand for high-speed rail.
B. An ordinance that prohibits cars from entering a park during the day causes more people to visit the park and reduces the number of accidents.
C. A cell phone company increases its capacity in order to meet increased demand for data due to the rising popularity of smart phones, which improves data transmission speeds and reliability, which prompts more people to buy smart phones.
 D. A county plan to create technology jobs by convincing a software company to locate there results in local schools teaching more math and science, creating a better educated workforce, which attracts other software companies to move there as well. 
E. A bank plan to increase its cash reserves by charging a fee to any account that does not carry a minimum balance leads to customers withdrawing their money, closing their accounts, and switching to a different bank.

Explanations of question 2 
In these types of question, I quickly write down the exact pattern of the paragraph.
Author says its a virtuous cycle, so lets quickly see what happens -
Drivers --> charged money
Therefore, Drivers use Public transport --> Less traffic
Therefore, Less traffic --> easy life for those who pay to use + easy life for commuters
Money collected used in public transport --> Public transport better
Public transport better --> more people use public transport, less people use cars --> traffic further reduced!

So what we are seeing here is it is a domino effect where one good leads to more good in the world of reduction of traffic in urban areas. 
All we now have to do is spot which one is similar.

In option D - see there is a 'virtuous cycle' present. Lets see how it is
1 SW company relocates to county --> School starts to teach more Maths+Science 
School starts to teach more Maths+Science --> Better educated workforce
Better educated workforce --> More SW companies relocating to the county because they can hire fresh graduates
More SW companies --> More Schools start teaching more Maths+Science
And this good-cycle continues
This is a perfect match.
_________________________________________________________________________________________________________________________________

3. The author most likely included the quotation "there's no such thing as a free lunch." (Highlighted) in order to
A. accuse the critics of congestion pricing of attempting to avoid paying their fair shares
 B. state a well-known axiom that undermines the previously mentioned economic principle 
C. indicate that critics of congestion pricing may have based their conclusions on insufficient information
D. offer a possible solution to the problem outlined in the previous sentence by the critics of congestion pricing
E. argue that an economic principle, while broadly applicable, is not relevant to transportation issues

Explanation of question 3 
Concept of free lunch is basically - nothing is free in this world; you have to earn it, nothing comes free. If you know the meaning of this phrase it becomes easy to crack this question. B says well-known axiom (free lunch) that undermines the previously mentioned economic principle (induced demand). Therefore yes the author uses this phrase to undermine the critics's argument. Critics think that congestion pricing would inadvertently increase traffic, but author says no it wont because the people still have to pay money to use roads in congestion areas, which is the economic consequence the author mentions.
_________________________________________________________________________________________________________________________________

4. The author would be most likely to agree with which of the following statements?
A. Congestion pricing is generally consistent with the economic principle of induced demand.
B. Cities that have implemented congestion pricing have not done so in a uniform manner.
C. Congestion pricing is the best solution available to developing countries facing traffic problems.
 D. Cities that have implemented congestion pricing have generally been successful at reducing traffic. 
E. Before implementing congestion pricing, London experienced frequent traffic jams.

Explanation of question 4 
A - The concept of 'induced demand' is congestion pricing is a victim of its own success. Is congestion pricing generally consistent with this principle? Well its the opinion of CRITICS. Is the author likely to agree? No, because in the following lines of the passage author says "theres no such thing as free lunch". So the answer the question - no, the author is not likely to agree to this. 
B - Not mentioned anywhere. 
C - BEST is an extreme word, it is good no doubt but its not mentioned in the passage whether congestion pricing is the BEST.
D - Nice, so the phrase 'generally been successful' is about right. It has been successful and the author is also leaning towards agreeing with this premise.
E - 14% traffic is reduced, does not mean London does not still experience traffic jams. Extending that logic, we also do not know that whether London used to experience traffic jams before 2003. Definitely not the answer.

Sajjad1994 · Answer

OAs of this RC are posted now, if anyone have any question kindly let me know.

1. D
2. D
3. C
4. B

abcdddddd  is the only person to mention here, great work. Good Luck for the next RCs.

AnirudhaS · Answer

Hi  SajjadAhmad , can we have the official explanations of all the questions please?

Kaifbinarshad · Answer

for those who have not found any satisfying point as to why the answer of 4th question is B.

B.Cities that have implemented congestion pricing have not done so in a uniform manner.

This is because the author provides specific examples of congestion pricing in different cities, like London and Singapore, which have tailored their approaches to fit their unique urban challenges. The passage mentions the "Area Licensing Scheme" in Singapore and the system introduced in London, showing that while the underlying principle is similar, the implementation may vary between cities.

Thus, the author would most likely agree that the implementation of congestion pricing has not been identical across all cities.

voicesinyourwall · Answer

sorry for being 5 years late, but it was difficult for me to understand why C, as well as D in question 2 was not a virtuous cycle, since increasing capacity increases data transmission speeds and reliability, which directly benefits consumers and society, and thus increases demand for smartphones which benefits the company. Other answers have mentioned that demand increasing is a negative thing because it means they will have to improve capacity again, but in the grand scheme of things, more demand is beneficial for both sides.
Or is it because in the GMAT, data speeds are not considered infrastructure and there is a bias against technology?

As urbanization continues to accelerate, many urban areas in develop

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GMAT Reading Comprehension (RC) Questions

As urbanization continues to accelerate, many urban areas in develop

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