October 2012 LSAT Section 1 Question 4

One way to furnish a living room is with modular furniture. Instead of buying a standard sofa, for example, one can b...

Stefaniggorman on October 25, 2020

B vs E

I eliminated B because I thought that if consumer demand increased more quickly than the supply, then that meant there was not as many products available to meet customer demand and therefore the customers paid more for the product. I chose E because I didn't see how upholstered surfaces contributed to the overall price for the sofa. Can you please explain why B would ultimately be correct over E?

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Emil-Kunkin on November 3 at 03:35PM

While b does suggest the demand can sometimes increase much faster than supply, we have no idea if that is what happened here. This is a reason why a price could increase in general, but we have no idea if it is applicable to the current situation.

E does rely a bit on an unstated assumption: that upholstery is costly. However I don't think this really requires us to worry about the relative costs of the raw materials, if we know that one thing requires double the amount of raw material X compared to another thing, that does give us reason to believe that the first thing would be more expensive than the second thing.