Occupational fieldIncorporated self-employment rateUnincorporated self-employment rateConstruction and resource extraction4.4%14.8%Installation, maint...
GMAT Information and Ideas : (Ideas) Questions
| Occupational field | Incorporated self-employment rate | Unincorporated self-employment rate |
|---|---|---|
| Construction and resource extraction | 4.4% | 14.8% |
| Installation, maintenance, and repair | 2.7% | 6.2% |
| Management, business, and financial services | 8.9% | 9.7% |
| Sales and related | 5.8% | 7.8% |
Self-employed workers—individuals who are not employees of other individuals or businesses but instead earn their income as business owners, independent contractors, or freelance workers—make up an important part of the US labor force. In order to receive legal and tax benefits enjoyed by corporations, self-employed individuals may choose to incorporate their business. A 2015 survey of incorporated and unincorporated self-employment rates in four occupational fields showed that the highest incorporated self-employment rate occurred among people working in ______
Which choice most effectively uses data from the table to complete the text?
sales and related occupations.
installation, maintenance, and repair occupations.
construction and resource extraction occupations.
management, business, and financial services occupations.
Step 1: Decode and Map the Passage
Part A: Passage Analysis Table
| Text from Passage | Analysis |
|---|---|
| "Self-employed workers—individuals who are not employees of other individuals or businesses but instead earn their income as business owners, independent contractors, or freelance workers—make up an important part of the US labor force." |
|
| "In order to receive legal and tax benefits enjoyed by corporations, self-employed individuals may choose to incorporate their business." |
|
| "A 2015 survey of incorporated and unincorporated self-employment rates in four occupational fields showed that the highest incorporated self-employment rate occurred among people working in ______" |
|
Part B: Passage Architecture & Core Elements
Main Point: A 2015 survey identified which occupational field has the highest rate of incorporated self-employment.
Argument Flow: The passage first defines self-employment, then explains the benefits of incorporation, leading to survey data that will reveal which field has the most incorporated self-employed workers.
Step 2: Interpret the Question Precisely
This is a fill-in-the-blank question asking us to choose the best logical connector. The answer must create the right relationship between what comes before and after the blank.
Step 3: Prethink the Answer
- Looking at the incorporated self-employment rates in the table:
- Construction and resource extraction: 4.4%
- Installation, maintenance, and repair: 2.7%
- Management, business, and financial services: 8.9%
- Sales and related: 5.8%
- The highest percentage is clearly 8.9%, which belongs to management, business, and financial services
- The question asks specifically about incorporated self-employment rates, so we need to compare only those numbers
sales and related occupations.
✗ Incorrect
- Sales and related has an incorporated rate of \(5.8\%\)
- This is not the highest rate in the table
- Students might pick this if they added incorporated and unincorporated rates together (\(13.6\%\) total), but the question specifically asks about incorporated rates only
installation, maintenance, and repair occupations.
✗ Incorrect
- Installation, maintenance, and repair has an incorporated rate of \(2.7\%\)
- This is actually the lowest incorporated rate shown
- Students might choose this by misreading the table
construction and resource extraction occupations.
✗ Incorrect
- Construction and resource extraction has an incorporated rate of \(4.4\%\)
- While this field has the highest unincorporated rate (\(14.8\%\)), the question asks specifically about incorporated rates
- Students might focus on the wrong column
management, business, and financial services occupations.
✓ Correct
- Management, business, and financial services has an incorporated rate of \(8.9\%\)
- This is clearly the highest incorporated self-employment rate in the table and matches our prethinking perfectly