Consumer advocate: Economists reason that price gouging—increasing the price of goods when no alternative seller is available—is efficient because it allocates goods to people whose willingness to pay more shows that they really need those goods. ███ ███████████ ██ ███ ██ ███ ████████████ ██ █████ ██ ███ ████ ██████ ████ ██████ ██████ ██████ ███ ██ ████ ██ ███████ ██ █ ███████ █ █████ ████████ ████ ████████ █████ ██ ███ ██████ ████ ███ ████ ██████ ███ ██ █████ ████ ███ ████ █████
The consumer advocate is responding to the economists' argument that price gouging is efficient because it allocates goods to people who are willing to pay more for them, and so clearly really need them.
The consumer advocate responds by rejecting the economists' assumption that people who are willing to pay more need the goods more: "willingness to pay is not proportional to need." She points out that some people just can't afford what other people can. Therefore, she concludes, increasing prices won't allocate goods to people with the most need (as the economists argue), but rather to the people with the most money.
Which one of the following ████ ██████████ █████████ ███ ████ ██████ ██ ███ ████████ ██████████ ████████ ██ ███ █████ ████ ███████████ ██ ███ ██ ███ ████████████ ██ █████
It disputes one ███████████ ██ █████ ██ ████ ███ ███ ██ ███████████ ████████████
But that's not the structure of this stimulus. If you're having trouble seeing this, try asking: "an alternative explanation for what?" For what price-gouging is? No, because the author tells us what price-gouging is and doesn't dispute that definition. You might argue that the advocate provides an alternate explanation of what the effects of price-gouging are, but that's not the point at issue. The economists aren't primarily arguing that "price-gouging has effects," but claiming that price-gouging is efficient. And the consumer advocate doesn't try to "explain" the efficiency of price-gouging — she rejects that idea altogether.
So because there's not one agreed-upon thing that the advocate is trying to "explain" in a different way from the economists, (A) doesn't work as an answer choice.
It is the ███████ ██████████ ██ ███ █████████
It is a █████████ ██ █████████ ████████ ██ ███ █████████
It is a ███████ █████████ █████ ████████ ███ ████████ ██████████
It denies a █████ ████ ███ ████████ █████ ██ ██ ███████ ██ ███ █████████ ████ ██ ████████
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