StrengthenDiff: Medium
Logic Breakdown
Passage Summary: The government is putting a lower cap on how much halibut can be caught, which will likely make the fish more expensive for consumers.
Conclusion: The market price for halibut is expected to rise as a result of new government catch limits.
Reasoning: New regulations will lower the maximum allowable catch, and the law of supply and demand suggests this decrease in supply will drive prices up.
Analysis: The argument relies on a standard economic assumption, but it's not a guaranteed outcome yet. For the price to definitely increase, we have to assume that demand for halibut won't suddenly plummet at the same time the supply drops. To justify the claim, look for an answer that ensures the supply reduction will actually be felt in the market. An answer that suggests demand will remain high or that the current supply is not already in massive surplus would bridge the gap perfectly.
Conclusion: The market price for halibut is expected to rise as a result of new government catch limits.
Reasoning: New regulations will lower the maximum allowable catch, and the law of supply and demand suggests this decrease in supply will drive prices up.
Analysis: The argument relies on a standard economic assumption, but it's not a guaranteed outcome yet. For the price to definitely increase, we have to assume that demand for halibut won't suddenly plummet at the same time the supply drops. To justify the claim, look for an answer that ensures the supply reduction will actually be felt in the market. An answer that suggests demand will remain high or that the current supply is not already in massive surplus would bridge the gap perfectly.
Passage Stimulus
Passage Redacted
Unlock Full Passage7.Which one of the following, if assumed, would do most to justify the claim that the price of halibut will increase?
Correct Answer
A
If demand for halibut will not decrease substantially, then a supply decrease (from catch ceilings) makes a price increase very likely under the law of supply and demand.
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