GMAT Critical Reasoning
Which of the following, if true, most logically completes the argument?
Aroca County's public schools are supported primarily by taxes on property. The county plans to eliminate the property tax and support schools with a new three percent sales tax on all retail items sold in the county. Three percent of current retail sales is less than the amount collected through property taxes, but implementation of the plan would not necessarily reduce the amount of money going to Aroca County public schools, because ______.
- A many former Aroca county residents left the county because of its high property taxes
- B a shopping mall likely to draw shoppers from neighboring counties ,which have much higher sales-tax rates, is about to open in Aroca county
- C at least some aroca county parents are likely to use the money they will save on property taxes to send their children to private schools not funded by the county
- D all of the money they that is collected in property taxes currently goes to be the public schools
- E retailers in aroca county are not likely to absorb the sales tax by reducing the pretax price of their goods
Correct Answer: B