PT150 S3 Q21 ExplanationFinance minister: The World Bank's

Answer choices, explained

1. A

   Unrelated to Goal6% picked this

   If the finance minister's country made it easier for small businesses to comply with regulations, would the rate at which

   This is a hypothetical about what would happen if we did something that isn't currently the case. All we care about is whether what is currently the case is enough to improve our ranking. Whether or not regulation-reform would hypothetically make us even more business friendly has nothing to do with assessing reality: will our tax reform earn us a higher ranking?

   6%
2. B

   Unclear Impact32% picked this

   Has compliance with tax laws by small and midsized businesses increased since tax

   This answer focuses on the reformed tax laws, which is what we hope will be the causal difference-maker in raising our ranking, but it's just talking about whether compliance with the new tax code has increased or not. Whether or not more people are complying with a tax code doesn't have any strong common sense connection to how easy it is to do business in a country.

   32%
3. C

   Irrelevant Comparison26% picked this

   For small and midsized businesses in the finance minister's country, is tax preparation and filing more difficult than

   To assess whether we'll move up in the rankings, we only care about comparisons such as these: - is our new tax law making it easier to do business in our country? - has our country improved its business-friendly characteristics more than other countries have, since the last rankings come out? We don't get any value out of comparing tax prep to other business necessities. We would care if our country has significantly more difficult regulations than other countries, because that would relate to whether our country as a whole is more/less business-friendly than others.

   26%
4. D

   Correct36% picked this

   Is what the finance minister considers to be a midsized business smaller than the hypothetical business used to

   Why this is right

   If we say YES, then it's weaken. If the World Bank ranks each country based on how easy it would be for a hypothetical business to navigate that country's tax and regulation systems, and their hypothetical business is larger than the small and midsize businesses discussed, then the improvements that have been made to the tax code for small/midsize businesses don't have any effect on the World Bank rankings. Thus, the argument lacks any relevant supporting premise at all. A huge way to weaken a case is to disqualify a piece of evidence. If the World Bank calculates ease of doing business based on a metric that excludes small/midsize business considerations, then the tax simplifications for those groups are totally excluded from the World Bank's calculation.

   Skill tested: Evaluate · how this choice captures the argument's function is the move to repeat next time.

   36%
5. E

   Irrelevant1% picked this

   Was the finance minister in office when the last “Doing Business”

   There's never been a question that cared who was saying the paragraph, so personally I'm never looking at the name of the person talking. LSAT wants us to judge ideas, not care about who is saying them. We wouldn't have any idea what effect, if any, it would have on the upcoming rankings of how easy it is to do business in this country, to learn that the finance minister was or wasn't on the job previously.

   1%