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GWD26-Q10
10. GWD26-Q10
Lawmaker: Raising taxes is not the only means of reducing government debt. The government’s stockpile of helium is worth 25 percent more, at current market prices, than the debt accumulated in acquiring and storing it. Therefore, by selling the helium, the government can not only pay off that debt but reduce its overall debt as well.
Which of the following is an assumption on which the argument depends?
A. The government has no current need for helium.
B. Twenty-five percent of the debt the government has accumulated in stockpiling helium is not an insignificant portion of the government’s total debt.
C. It is not in the lawmaker’s interest to advocate raising taxes as a means of reducing government debt.
D. Attempts to sell the government’s helium will not depress the market price of helium by more than 25 percent.
E. The government will not incur any costs in closing its facilities for stockpiling helium. |
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