LSAT 149 | Section 3 | Logical Reasoning: Q17

LR Question 17 Explanation

QUESTION TEXT: When a chain of service stations began applying…

QUESTION TYPE: Principle – Conform

FACTS:

1. People didn’t like a $0.25 fee for using credit cards.
2. People did like a $0.25 discount for not using a credit card (i.e. paying with cash).

ANALYSIS: The two situations are functionally equivalent. I tried to write the facts above to show that. Either way, you pay $0.25 less for cash, and $0.25 more for using a credit card. But in the second situation, it is framed a friendly “discount”.

So, people’s reactions depend upon how something is presented to them.

___________

1. This isn’t quite right. In the first case, for example, people were accurately assessing that they weren’t being charged more for using a card. And their belief in a discount is accurate too.
2. This is tempting. But the argument didn’t distinguish between the customers who were angry and those who were happy. In fact, it suggests that all customers were angry at the fee, and all much happier with a discount.
    
   Further, both policies had exactly the same costs for each customer using credit or cash: a $0.25 difference. The reactions were based on how people perceived the fee.
3. This is way too broad. There’s only one issue on this question. This answer talks about all financial issues. Even something like depositing a paycheque is a “financial issue” and people don’t get worked up about absolutely everything.
    
   If this had said “Discounts and fees can make people emotional”, it would have been a better answer.
4. Nobody consciously changed their mind. As far as the customers can tell, they were presented with two different situations. (The owner cleverly hid the fact that both scenarios were the same)
5. CORRECT. The two situations were basically identical. But in the first case, the surcharge was a hostile presentation. The discount was a friendly presentation. This presentation was what affected customers perceptions.

Recap: The question begins with “When a chain of service stations began applying”. It is a Principle question. Learn how to master LSAT Principle questions on the LSAT Logical Reasoning question types page.