This question gave me a moment for pause. Not always the most encouraging thing at the beginning of the LR section of the LSAT, but a good reminder to never take anything for granted on this test.
Conclusion: The city needs to purchase new subway cars.
Reason why: Efficient, attractive subway is good economic sense, and we should always do what makes good economic sense.
The argument core would look something like this:
Efficient & attractive subway system
makes good economic sense.
City needs to purchase
+ ------------> new subway cars
City should always do what makes
good economic sense
Alright so we know our conclusion and we have our support. We are asked what would make this conclusion logically follow. In other words we need an assumption that is sufficient to make this conclusion follow from the premises stated. So our answer must be something that addresses what is stated in the conclusion:
Prephrase: Alright well I guess our answer needs to link our premise to our conclusion so I need something that says something along the lines of "purchasing new cars is necessary for an efficient, attractive subway system" or something that states that "the cities obligation to always do what makes good economic sense is sufficient to justify purchasing new subway cars."
(A) This answer choice does not link our premise to our conclusion. There is nothing in here about purchasing new subway cars which is what we need. If anything this answer choice just strengthens the first sentence. Interestingly enough if this answer choice replaced our conclusion, and kept the initial premises in tact then you would have a circular argument.
(B) This answer choice addresses "cost effective subway cars . . ." This is out of scope in regards to our conclusion which talks about "new subway cars". New subway cars do not necessarily have to be cost effective subway cars, and cost effective subway cars do not necessarily have to be new subway cars. Get rid of it.
(C) This is probably the most tempting of the answer choices. The reason it doesn't work, however, is because it makes a case for investment in new subway cars making better economic sense than other investment options open to the city. This answer choice brings in a comparison of new subway cars vs. other investment options. There is nothing in the stimulus where the author makes a case for investment in new subway cars vs. other investment options. He only makes a case for new subway cars on the basis of their making good economic sense not better economic sense than other investment options. Get rid of it.
(D) There is no mention of the new subway cars being affordable or not affordable only that the city should purchase new subway cars because the city should always do what makes good economic sense. Technically something could make good economic sense and be either affordable or not affordable. We just don't have enough information in this stimulus to make sense, and so this answer choice classifies as irrelevant. Get rid of it.
(E) This is what we want. It connects "new subway cars" stating that they are required for the city to have a subway system that is efficient and attractive. In other words it directly connect the first premise we listed in our core up above with the language of the conclusion (new subway cars) mentioned in the stimulus. Keep it and move on.