Consider the following argument:
To revitalize its struggling economy, the town council of Bellville plans to offer substantial tax incentives to attract major tech companies. The council reasons that because tech companies employ high-earning professionals, the relocation of these companies will bring new wealthy residents to Bellville. These new residents will spend their money at local businesses, thereby providing the significant economic boost the town needs.
Statement to evaluate:
The argument necessarily assumes that the high-earning professionals employed by these tech companies will spend a larger percentage of their income at local Bellville businesses than the town's current residents do.
Answer: Answer
Answer
False
The statement is false because it describes a condition that is not logically necessary for the conclusion to hold. The argument requires a significant absolute increase in local spending to boost the economy. Because the tech professionals are 'high-earning,' they could spend a smaller percentage of their income locally than current residents do, yet still spend a much larger absolute amount of money. Applying the Negation Technique: if the professionals do NOT spend a larger percentage of their income locally, the conclusion that the town will receive a significant economic boost can still hold true. Thus, the assumption is not strictly necessary.
Step-by-Step Solution
Key Concept
Identifying Necessary Assumptions via the Negation Technique