Question Type:
Sufficient Assumption. This question is asking us to fill in the blank at the end of the stimulus, which is unusual for a Sufficient Assumption question. However, the correct answer will function like a sufficient assumption, allowing the conclusion to be properly drawn.
Stimulus Breakdown:
Premise:
former owners buy banks back → banking system will not be strengthened
Conclusion:
agency is unlikely to achieve its goal of strengthening the banking system
Answer Anticipation:
We're looking for an answer that triggers the sufficient condition of the premise: something that states the former owners will buy the banks, or are at least the most likely buyers.
Correct Answer:
(E)
Answer Choice Analysis:
(A) "Unable to sell some" is out of scope. The premise doesn't tell us that the banking system won't be strengthened if the agency doesn't sell some of the banks.
(B) "A single company" puts this answer out of scope. Nothing in the premise states that there will be a problem if one single company buys more than one bank.
(C) This is also out of scope. This argument deals with the banking system, not the overall economy. Furthermore, the premise doesn't tell us that the economy needs to be stronger in order for the agency to achieve its goal.
(D) Like choice (C), this answer is trying to trick us into focusing on the second sentence, which states that the agency hopes to strengthen the banking system by selling the banks. We don't know how this goal might be affected by the strength of the overall economy, or the financial strength of these banks compared to others. We only know what will happen if the former owners buy the banks.
(E) This is correct. It doesn't tell us that the former owners will definitely buy the banks—maybe the agency will decide not to sell them—but the conclusion only states that the agency is "unlikely" to achieve its goal. If the former owners are the only ones bidding, they are currently the most likely buyers.
Takeaway/Pattern: If the question stem is unusual, focus on the task it is asking you to perform. How should the correct answer relate to the stimulus? What is the correct answer's function?
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