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Under current federal law, employers are allowed to offer their employ

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Under current federal law, employers are allowed to offer their employ  [#permalink]

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New post 18 Jan 2020, 04:52
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A
B
C
D
E

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  15% (low)

Question Stats:

82% (01:50) correct 18% (02:05) wrong based on 90 sessions

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Under current federal law, employers are allowed to offer their employees free parking spaces as a tax-free benefit, but they can offer employees only up to $180 per year as a tax-free benefit for using mass transit. The government could significantly increase mass transit ridership by raising the limit of this benefit to meet commuters’ transportation costs.

The proposal above to increase mass transit ridership assumes that


(A) current mass transit systems are subject to unexpected route closings and delays

(B) using mass transit creates less air pollution per person than using a private automobile

(C) the parking spaces offered by employers as tax-free benefits can be worth as much as $2,500 per year

(D) many employees are deterred by financial considerations from using mass transit to commute to their places of employment

(E) because of traffic congestion on major commuter routes, it is often faster to travel to one’s place of employment by means of mass transit than by private automobile

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Re: Under current federal law, employers are allowed to offer their employ  [#permalink]

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New post 27 Jan 2020, 04:08
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A bit of a strange question, because no answer should be even tempting besides D. The question is solely about financial incentives to use different types of transportation, so the stem is clearly assuming those incentives affect employee behaviour. So D is the right answer. Pollution is irrelevant to the argument, as is the speed of driving and the speed of public transit. C at least discusses financial incentives, but it is too specific to ever be an assumption: we don't need to assume that parking costs specifically $2500 to make this argument. Since we could change that number to, say, $10,000, and answer C would convey the same information, it can't possibly be an assumption, because assumptions are required to be true as is; they can't be changed.
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Re: Under current federal law, employers are allowed to offer their employ  [#permalink]

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New post 19 Feb 2020, 19:34
Bunuel wrote:
Under current federal law, employers are allowed to offer their employees free parking spaces as a tax-free benefit, but they can offer employees only up to $180 per year as a tax-free benefit for using mass transit. The government could significantly increase mass transit ridership by raising the limit of this benefit to meet commuters’ transportation costs.

The proposal above to increase mass transit ridership assumes that

(A) current mass transit systems are subject to unexpected route closings and delays

(B) using mass transit creates less air pollution per person than using a private automobile

(C) the parking spaces offered by employers as tax-free benefits can be worth as much as $2,500 per year

(D) many employees are deterred by financial considerations from using mass transit to commute to their places of employment

(E) because of traffic congestion on major commuter routes, it is often faster to travel to one’s place of employment by means of mass transit than by private automobile


One assumption can be that people, given an opportunity, would likely be interested in opting for mass transit system. If they are not then proposal fails.
Here option D is somewhat talking about financial constraints of employees. There are many factors within this option but this much of information in D works.

Answer D.
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Re: Under current federal law, employers are allowed to offer their employ   [#permalink] 19 Feb 2020, 19:34
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