19. Recent social changes in the country of Spiessa lead the author to predict a
continued surge in growth of that countrys restaurant industry. Rising personal incomes,
additional leisure time, an increase in single-person households, and greater interest in
gourmet food are cited as the main reasons for this optimistic outlook. All of these
factors are indeed relevant to growth in the restaurant industry; so the prediction appears
reasonable on its face. However, three questionable assumptions operative in this
argument bear close examination.
The first dubious assumption is that the supply of restaurants in Spiessa will
continue to grow at the same rate as in the recent past. However, even in the most
favorable conditions and the best of economic times there are just so many restaurants
that a given population can accommodate and sustain. It is possible that the demand for
restaurants has already been met by the unprecedented growth of the past decade, in
which case the recent social changes will have little impact on the growth of the
restaurant industry.
A second assumption is that the economic and social circumstances cited by the
author will actually result in more people eating out at restaurants. This assumption is
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