📊 GMAT Exam Prep

An argument states: 'A city decreased its public transit fares by 20% and saw a 10% increase in ridership. Therefore, lowering fares is an effective strategy to reduce traffic congestion.' What unstated assumption is central to the argument's conclusion about reducing traffic congestion?

A The city's overall population has remained constant during this period.
B A significant portion of the new public transit riders previously drove personal vehicles.
C The cost of gasoline has not fluctuated significantly during the fare reduction.
D Public transit operates efficiently and on a reliable schedule in the city.

✓ Correct Answer: Option B

For lower fares to reduce traffic congestion, the increased ridership must come from individuals who would otherwise drive, not from existing public transit users or those who would have walked/cycled.

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