Logic Breakdown

Passage Summary: A local tax law gives financial breaks to companies that move to the area and hire at least 50 people. Even though some people worry the law loses the government money, the author points to a specific company, Plastonica, which moved in and hired 75 people as proof that the law is working.

Conclusion: The tax bill passed two years ago has successfully generated a significant number of jobs in the local area.

Reasoning: Plastonica opened a new factory and hired 75 employees, which allowed them to qualify for the tax incentives provided by the bill.

Analysis: The author is making a classic causal leap here. Just because Plastonica qualified for the tax break doesn't mean the tax break is the reason they moved there or hired those people. For this argument to hold water, we must assume that Plastonica wouldn't have opened that factory and hired those 75 people anyway. Look for an answer that confirms the tax incentive was a necessary factor in Plastonica's decision-making process.

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16.

The argument's reasoning depends on which one of the following assumptions?

Correct Answer
B
To attribute the 75 local jobs to the bill, Plastonica must have opened here because of the incentives. Negation test: If Plastonica would have opened here regardless, the example no longer supports that the bill created those jobs, collapsing the argument.
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