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24 Jan 2025, 02:49
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A proposed regulation requires that software companies must disclose all data collection practices upfront. If enacted, all software companies, especially major ones, would need to comply. As a result, many users may choose to switch to software that collects less personal data, causing some companies to lose significant market share.
The argument above assumes which of the following?
A. Companies that do not collect personal data will not gain any significant market share from those that do.
B. Some users do not currently understand the extent of data collection involved in the software they use.
C. The main reason for not adopting the proposed regulation cited above is to protect major software companies from losing market share.
D. Only major software companies collect significant amounts of personal data from their users.
E. Disclosure laws should be designed such that software companies are allowed to collect data only if users have explicitly consented to each type of data being collected.
The argument above assumes which of the following?
A. Companies that do not collect personal data will not gain any significant market share from those that do.
B. Some users do not currently understand the extent of data collection involved in the software they use.
C. The main reason for not adopting the proposed regulation cited above is to protect major software companies from losing market share.
D. Only major software companies collect significant amounts of personal data from their users.
E. Disclosure laws should be designed such that software companies are allowed to collect data only if users have explicitly consented to each type of data being collected.
24 Jan 2025, 02:49
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Official Solution:
A proposed regulation requires that software companies must disclose all data collection practices upfront. If enacted, all software companies, especially major ones, would need to comply. As a result, many users may choose to switch to software that collects less personal data, causing some companies to lose significant market share.
The argument above assumes which of the following?
A. Companies that do not collect personal data will not gain any significant market share from those that do.
B. Some users do not currently understand the extent of data collection involved in the software they use.
C. The main reason for not adopting the proposed regulation cited above is to protect major software companies from losing market share.
D. Only major software companies collect significant amounts of personal data from their users.
E. Disclosure laws should be designed such that software companies are allowed to collect data only if users have explicitly consented to each type of data being collected.
(A) Incorrect because the argument does not suggest that companies that avoid data collection will fail to gain market share; it implies the opposite.
(B) Correct Answer. The conclusion that users might switch to less invasive software hinges on the assumption that they are currently not fully aware of the extent of data collection, as the only change suggested in the argument is more disclosure. The argument makes a prediction that increased transparency will lead users to change their behavior as the result of having more information about data collection.
This is a harder assumption question and the question has multiple possible assumptions in this argument, but this is the only correct option among the 5 given. Another assumption could be that users care about data privacy but that’s not an option, so you have to choose the best available one, even if it is not ideal in your opinion. This is how some of the harder assumption questions on the GMAT work.
(C) Incorrect. This is a speculation; not an assumption necessary for the argument.
(D) incorrect. The argument does not specify which companies (big or small) collect significant amounts of data. This is not the correct or necessary assumption.
(E) Irrelevant. The argument centers on disclosure, not the permissions or the extent of data collection permitted by law.
Answer: B
A proposed regulation requires that software companies must disclose all data collection practices upfront. If enacted, all software companies, especially major ones, would need to comply. As a result, many users may choose to switch to software that collects less personal data, causing some companies to lose significant market share.
The argument above assumes which of the following?
A. Companies that do not collect personal data will not gain any significant market share from those that do.
B. Some users do not currently understand the extent of data collection involved in the software they use.
C. The main reason for not adopting the proposed regulation cited above is to protect major software companies from losing market share.
D. Only major software companies collect significant amounts of personal data from their users.
E. Disclosure laws should be designed such that software companies are allowed to collect data only if users have explicitly consented to each type of data being collected.
(A) Incorrect because the argument does not suggest that companies that avoid data collection will fail to gain market share; it implies the opposite.
(B) Correct Answer. The conclusion that users might switch to less invasive software hinges on the assumption that they are currently not fully aware of the extent of data collection, as the only change suggested in the argument is more disclosure. The argument makes a prediction that increased transparency will lead users to change their behavior as the result of having more information about data collection.
This is a harder assumption question and the question has multiple possible assumptions in this argument, but this is the only correct option among the 5 given. Another assumption could be that users care about data privacy but that’s not an option, so you have to choose the best available one, even if it is not ideal in your opinion. This is how some of the harder assumption questions on the GMAT work.
(C) Incorrect. This is a speculation; not an assumption necessary for the argument.
(D) incorrect. The argument does not specify which companies (big or small) collect significant amounts of data. This is not the correct or necessary assumption.
(E) Irrelevant. The argument centers on disclosure, not the permissions or the extent of data collection permitted by law.
Answer: B
