LSAT Explanation PT 25, S2, Q14: Numismatist: In medieval Spain, most gold

LSAT Question Stem

As a preliminary to negotiating prices, merchants selling goods often specified that payment should be in the coins minted from Senegalese gold. Which one of the following, if true, most helps to explain this preference? 

Logical Reasoning Question Type

This is a Paradox question. 

Correct Answer

The correct answer to this question is A. 

LSAT Question Complete Explanation

First, let's analyze the passage. The numismatist tells us that in medieval Spain, most gold coins were minted from gold mined in West Africa, specifically in the area that is now Senegal. This gold was the purest known, with a gold content of 92 percent. Because of this high purity, coins could be minted without refining the gold. The passage also mentions that the mints could refine gold and produced other coins with even purer gold content, but the Senegalese gold was never refined.

Now, let's look at the question. It is a Paradox question, which means we are looking for an answer that helps explain the apparent contradiction or puzzle in the passage. In this case, the puzzle is why merchants selling goods often specified that payment should be in the coins minted from Senegalese gold.

Let's go through the answer choices:

a) This choice tells us that refined gold varied considerably in purity, so specifying a price as a number of refined-gold coins did not fix the quantity of gold received in payment. This helps explain the preference for Senegalese gold coins, as their fixed 92 percent gold content would provide a more consistent value for transactions. This is a strong contender for the correct answer.

b) This choice tells us that during this period, most day-to-day trading was conducted using silver coins, while gold coins were used for costly transactions and long-distance commerce. While this provides some context about the use of gold coins, it doesn't explain why merchants would specifically prefer coins minted from Senegalese gold. This choice is not the correct answer.

c) This choice tells us that the mints were able to determine the purity, and hence the value, of gold coins by measuring their density. While this is an interesting fact, it doesn't explain why merchants would prefer the non-refined Senegalese gold coins over other gold coins. Remember, the passage tells us that mints could produce coins with even purer gold content, so if it was just about purity, there's no reason they would necessarily prefer non-refined gold. This choice is not the correct answer.

d) This choice tells us that since gold coins' monetary value rested on the gold they contained, payments were frequently made using coins minted in several different countries. This fact doesn't help explain the preference for Senegalese gold coins specifically. It is not the correct answer.

e) This choice tells us that merchants obtaining gold to resell for use in jewelry could not sell the metal unless it was first refined. This actually seems to contradict the preference for non-refined Senegalese gold coins and doesn't help explain the puzzle. This choice is not the correct answer.

Based on our analysis, the correct answer is A. It provides a reason why merchants would prefer the consistent 92 percent gold content of Senegalese gold coins, as specifying a price in refined-gold coins did not guarantee a fixed quantity of gold received in payment.