medium · LSAT Logical Reasoning

The government's new stimulus package is designed to increase consumer spending. However, many economists argue that the package will primarily lead to increased personal savings rather than spending. Therefore, the stimulus package will fail to achieve its primary objective.

Which of the following is an assumption required by the argument?

  1. The economists' forecast that the package will mainly boost savings rather than spending is correct.
  2. For any individual recipient, increased savings and increased spending cannot both occur.
  3. The government has no objectives for the package beyond raising consumer spending.
  4. A stimulus that raises savings is always worse for the long-run economy than one that raises spending.
  5. The economists who made the forecast have an established record of accurate economic predictions.

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