Party spokesperson: The opposition party’s proposal to stimulate economic activity in the province by refunding $600 million in provincial taxes to taxpayers, who could be expected to spend the money, envisions an illusory benefit. Since the province’s budget is required to be in balance, either new taxes would be needed to make up the shortfall, in which case the purpose of the refund would be defeated, or else workers for the province would be dismissed. So either the province’s taxpayers or its workers, who are also residents of the province, will have the $600 million to spend, but there can be no resulting net increase in spending to stimulate the province’s economy.

A
taxpayers of the province would spend outside the province at least $300 million of any $600 million refunded to them
If taxpayers spend the refund out of province, that’s less money that would be spent on economic activity in the province. This supports the author’s point that the proposal won’t result in a net increase in spending in the province.
B
taxpayers of the province would receive any refund in partial payments during the year rather than in a lump sum
Whether the refund is in one lump sum or multiple payments doesn’t change the overall amount of the refund or whether the need to balance the budget necessitates new taxes or firing workers.
C
province could assess new taxes in a way that would avoid angering taxpayers
The taxpayers’ emotions have no clear impact on this argument. The author’s reasoning relates to the need to balance the budget and recoup the $600 million being refunded.
D
province could, instead of refunding the money, stimulate its economy by redirecting its spending to use the $600 million for construction projects creating jobs around the province
This answer describes a solution that doesn’t involve refunding $600 million to taxpayers. But the conclusion is about the refund and whether it will achieve its goal. Pointing out that we can do something besides a refund doesn’t undermine the author’s point.
E
province could keep its workers and use them more effectively, with a resulting savings of $600 million in its out-of-province expenditures
This points out how the need to balance the budget doesn’t require new taxes or firing workers. If we could keep workers and recoup $600 million by saving on out-of-province expenditures, then we don’t need to tax the province’s taxpayers or fire workers.

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