Economist: The government's recent policy, which provides subsidies to renewable energy companies, will clearly lead to a significant increase in renewable energy production. This is because the subsidies make renewable energy projects more financially attractive to investors.
- AThe economist fails to consider that the subsidies might not be large enough to overcome other deterrents to investment.
- BThe economist overlooks the possibility that some renewable energy companies might misuse the subsidies.
- CThe economist assumes that increased financial attractiveness is the only factor influencing investment in renewable energy.
- DThe economist does not provide data on the current level of investment in renewable energy projects.
Show answer & explanationAnswer & explanation
Correct answer: A. The economist fails to consider that the subsidies might not be large enough to overcome other deterrents to investment.
The argument assumes that by making renewable energy projects 'more financially attractive,' investment will necessarily increase. However, this ignores the possibility that even with subsidies, other factors (e.g., regulatory hurdles, infrastructure limitations, competition from traditional energy, technological risks) might still deter investors, preventing the desired increase in production. The subsidies might not be sufficient to tip the scales.
Why the other options are wrong
- B. Misuse of subsidies is a separate issue about program integrity, not about whether the subsidies, if used as intended, are sufficient to achieve the stated goal.
- C. This is a general statement of the flaw, but 'B' is more specific and directly addresses the *sufficiency* of the proposed cause.
- D. While helpful for context, this data is not essential to identify the logical flaw in the causal prediction.
Sufficiency Flaw (LSAT)
A flaw in reasoning where an argument assumes that a given condition or action is sufficient to guarantee a particular outcome, without considering other factors that might prevent that outcome from occurring.
- Confuses a necessary condition with a sufficient condition.
- Often overlooks 'other things being equal' assumptions.
- Weakens arguments by showing the proposed solution might not be enough.
Memory trick: Just because you *can* do it, doesn't mean it *will* happen.