ParadoxDiff: Medium
Logic Breakdown
Passage Summary: Even though a bunch of new apartments were built in town, the cost of renting the old ones surprisingly increased.
Reasoning: The supply of housing in Brewsterville increased, which usually lowers rent, yet the rent for existing apartments actually went up.
Analysis: This stimulus presents a situation that defies basic economic expectations of supply and demand. To resolve this discrepancy, we need a piece of information that explains why the price rose despite the increased supply. Perhaps the new apartments were so high-end that they increased the overall desirability of the area, or maybe there was a massive influx of new residents that far outpaced the new construction. We need a factor that counteracts the downward pressure on prices usually caused by new supply.
Reasoning: The supply of housing in Brewsterville increased, which usually lowers rent, yet the rent for existing apartments actually went up.
Analysis: This stimulus presents a situation that defies basic economic expectations of supply and demand. To resolve this discrepancy, we need a piece of information that explains why the price rose despite the increased supply. Perhaps the new apartments were so high-end that they increased the overall desirability of the area, or maybe there was a massive influx of new residents that far outpaced the new construction. We need a factor that counteracts the downward pressure on prices usually caused by new supply.
Passage Stimulus
Passage Redacted
Unlock Full Passage6.Which one of the following, if true, most helps to explain the discrepancy described above?
Correct Answer
E
A surge in the number of people seeking residence (Demand ↑) can more than offset the increase in supply from new construction, driving up rents for existing apartments and resolving the discrepancy.
Upgrade Your Prep
Ready to go beyond free explanations?
LSAT Perfection is the #1 modern LSAT prep platform, trusted by thousands of students for comprehensive test strategies, advanced drilling, and full analytics on every PrepTest.
Detailed explanations for 59 PrepTests
Advanced drillset builder
Personalized analytics
Built-in Wrong Answer Journal