dipeshsalvi wrote:
Which of the following most logically completes the argument?
United States manufacturers currently produce most of the world's solar-power generators—most of which are exported to Europe. However, European manufacturers are emerging and probably will ultimately capture much of the European market. The United States government is funding initiatives intended to encourage use of solar power within the United States. If these initiatives succeed in increasing the demand for solar-power generators in the United States, United States manufacturers will probably maintain significant production levels, since __________.
(A) some United States manufacturers have been substantially increasing their output over the last several years
(B) the efficiency of solar-power generators in converting energy from the Sun into electric power is not improving as fast as it once did
(C) just as European manufacturers enjoy certain competitive advantages in Europe, so do United States manufacturers in the United States
(D) European governments are currently undertaking initiatives to stimulate the use of solar power within Europe
(E) the current market for solar-power generators in the United States is very limited
My Analysis:
Info – 1: United States manufacturers currently produce most of the world's solar-power generators--most of which are exported to Europe.
Info – 2: However, European manufacturers are emerging and probably will ultimately capture much of the European market. (Assumption – It will reduce the US exports to Europe)
Info – 3: The United States government is funding initiatives intended to encourage use of solar power within the United States. If these initiatives succeed in increasing the demand for solar-power generators in the United States, United States manufacturers will probably maintain significant production levels, since __________.
Analysis: Blank space is preceded by since which is the premise indicator, hence we should identify the premise that support the argument conclusion that “United States manufacturers will probably maintain significant production levels”.
Pre-think of answer: There is scope for increase in sales in US market.
Hence I selected answer choice E as it says the current market is limited and with US govt. initiatives it will increase.
But the correct answer choice is C and I am not able to identify the reason for the same.
Please explain what I am missing in my approach.
There are 4 aspects here:
US manufacturers, US market, European manufacturers, European market
Currently, US manufacturers make and export to European market. (So supply is from US and demand is in Europe.)
Now European manufacturers are emerging and will likely capture European market. (So Europe will supply to Europe demand)
The US government is encouraging US market to increase demand.
If these initiatives succeed US manufacturers will probably maintain significant production levels, since...
The argument is saying that if demand in US increases, US manufacturers will likely maintain a good supply. Why? Why is it that like European market, US market will not satisfy its demand from Europe? If European manufacturers are emerging, it is possible that they not only capture European market but US market too if US market demand increases. We need to give a reason why this may not happen. A reason why US markets may prefer to buy from US manufacturers.
(A) some United States manufacturers have been substantially increasing their output over the last several years
(B) the efficiency of solar-power generators in converting energy from the Sun into electric power is not improving as fast as it once did
This is the same for all manufacturers. It doesn't say why US manufacturers will maintain their production levels. It doesn't say why if US demand increases, US manufacturers will likely satisfy it.
saman283 - We do not know how increase in efficiency affects demand. Does higher efficiency increase demand (more people want to buy) or lower demand (once bought, people don't need to buy again and again)?
(C) just as European manufacturers enjoy certain competitive advantages in Europe, so do United States manufacturers in the United States
Correct. This is why US manufacturers may be better able to satisfy demands of the US market.
(D) European governments are currently undertaking initiatives to stimulate the use of solar power within Europe
Irrelevant. European manufacturers are likely to capture European market - whatever its size.
(E) the current market for solar-power generators in the United States is very limited
That is already given. It doesn't help.
Answer (C)