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The exchange rate between the currency of Country X and that

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Intern
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The exchange rate between the currency of Country X and that [#permalink] New post 11 Aug 2009, 06:15
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A
B
C
D
E

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50% (01:10) correct 50% (01:16) wrong based on 1 sessions
The exchange rate between the currency of Country X and that of Country Y has historically favored the currency of Country Y. Because of this, citizens of Country Y often take their vacations in Country X, where the exchange rate makes hotels and restaurants more affordable. Yet, citizens of Country Y rarely purchase clothing or electronics in Country X, despite the fact that those items are more expensive in their home country, even when sales taxes are taken into account.

Which of the following, if true, would best explain the buying habits of the citizens of Country Y?
A) Citizens of Country Y prefer the fashions available in their own country.
B) Stores in Country X receive the latest fashions and technology several months after they are available in Country Y.
C) The citizens of Country X resent the buying power of the currency of Country Y.
D) The government of Country Y imposes tariffs on imported goods.
E) The currencies of Country X and Country Y are both weak compared to the currency of Country Z.

Damn, in a 5 choice question like this, I usually can shortlist to 2 strong candidates (In this case, it's B and D). However, I always seem to overlook the OA.... My reasoning seems screwed all the time :(

Anyone mind explaining why B ain't the answer? I looked at the OA explanation, and still can't discard it as my choice...
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Re: Currency Exchange - Manhattan Question [#permalink] New post 11 Aug 2009, 06:36
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B requires the assumption that (*Mostly all) citizens of country Y purchases the electronics and clothing at the time, or with-in the months, of launch of new fashion and technologies.

I also fell for the B. But what I thought was that tariffs are not meant for the individual buyers but for the corporations' imports/exports.
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Re: Currency Exchange - Manhattan Question [#permalink] New post 11 Aug 2009, 06:46
hey guys,
whats the answer.? is it D.?
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Re: Currency Exchange - Manhattan Question [#permalink] New post 12 Aug 2009, 02:03
OA is D...
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Re: Currency Exchange - Manhattan Question [#permalink] New post 12 Aug 2009, 22:37
The options provided are not well constructed. D is open to interpretation and B is rather weak.
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Re: Currency Exchange - Manhattan Question [#permalink] New post 13 Aug 2009, 07:32
I just got this question wrong on my CAT exam. I don't like the question very much..
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Re: Currency Exchange - Manhattan Question [#permalink] New post 13 Aug 2009, 20:29
Could explain why not A?
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Re: Currency Exchange - Manhattan Question [#permalink] New post 13 Aug 2009, 22:44
I think it's a right question for GMAT, and choices are clear.
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Re: Currency Exchange - Manhattan Question   [#permalink] 13 Aug 2009, 22:44
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