It is currently 17 Oct 2017, 03:13

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Close

Request Expert Reply

Confirm Cancel

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

Despite the approach of winter oil prices to industrial

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 01 Oct 2013
Posts: 10130

Kudos [?]: 261 [0], given: 0

Premium Member
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 24 Jul 2015, 21:50
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.

Kudos [?]: 261 [0], given: 0

Manager
Manager
User avatar
Joined: 01 Mar 2015
Posts: 61

Kudos [?]: 16 [0], given: 6

Location: India
Concentration: Entrepreneurship, International Business
GMAT 1: 690 Q42 V42
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 25 Jul 2015, 04:12
Answer is B. Easy pickings! 8-)
_________________

In the pursuit of a better GMAT score. You can help me by giving me kudos if you like my post.

Kudos [?]: 16 [0], given: 6

Intern
Intern
avatar
Joined: 26 Jun 2014
Posts: 9

Kudos [?]: [0], given: 22

Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 15 May 2016, 06:01
VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.

So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, oil prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.


I think you mean gas prices will go down again as a result of users shifting to oil

Kudos [?]: [0], given: 22

Expert Post
Veritas Prep GMAT Instructor
User avatar
G
Joined: 16 Oct 2010
Posts: 7668

Kudos [?]: 17324 [0], given: 232

Location: Pune, India
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 15 May 2016, 21:14
tsatomic wrote:
VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.


So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, oil prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.


I think you mean gas prices will go down again as a result of users shifting to oil


Yes, thanks for pointing out. Edited.
_________________

Karishma
Veritas Prep | GMAT Instructor
My Blog

Get started with Veritas Prep GMAT On Demand for $199

Veritas Prep Reviews

Kudos [?]: 17324 [0], given: 232

Director
Director
User avatar
Joined: 04 Jun 2016
Posts: 647

Kudos [?]: 365 [0], given: 36

GMAT 1: 750 Q49 V43
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 19 Jun 2016, 08:03
(Premise 1) Oil prices to industrial customers are low this year and likely to remain so.
(Option A or B or C or D or E) This option will connect the first premise to the conclusion and strengthen the argument as a whole
(Conclusion) If winter is not severe, natural gas price will also remain low.

Lets analyse option E first
(Premise 1) Oil prices to industrial customers are low this year and likely to remain so.
(Option E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
If Oil distribution is severely affected by severe winter then oil price will naturally go up. demand and supply.
But Premise states that Oil prices are low and are likely to stay so. Hence oil distribution is not going to be affected. Meaning winters are not going to be severe. Even if winter is severe, it makes no difference to gas distribution because gas distribution is not affected by severe winter.
Conclusion: If winter is not severe, natural gas price will also remain low.
Option E connects the premise and conclusion nicely.

Lets check B

Oil prices to industrial customers are low this year and likely to remain so.
(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
If there are 500 oil user and 500 gas user, and if all 500 gas user switches to oil, then oil price will go up. So if winter is severe or if winter is not severe, it does not makes a 2 cent difference to anyone because half of the industries are using oil and oil price is unlikely to change and other half will quickly change to oil because they have the capabilities to do so.
Now how is this option connecting the premise and conclusion ????
Conclusion: If winter is not severe, natural gas price will also remain low.
even if winter is severe, gas price will remain unaffected because no one is using gas. remember the 500 industry who use gas can switch to oil
Option B neither strengthen our conclusion nor it connects the premise to the conclusion.

How can Option B be the right answer ????
WHAT AM I MISSING?

Can anyone explain this question using other easy real life examples.


VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.

So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, gas prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.

_________________

Posting an answer without an explanation is "GOD COMPLEX". The world doesn't need any more gods. Please explain you answers properly.
FINAL GOODBYE :- 17th SEPTEMBER 2016. .. 16 March 2017 - I am back but for all purposes please consider me semi-retired.

Kudos [?]: 365 [0], given: 36

Director
Director
User avatar
Joined: 04 Jun 2016
Posts: 647

Kudos [?]: 365 [0], given: 36

GMAT 1: 750 Q49 V43
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 19 Jun 2016, 08:06
(Premise 1) Oil prices to industrial customers are low this year and likely to remain so.
(Option A or B or C or D or E) This option will connect the first premise to the conclusion and strengthen the argument as a whole
(Conclusion) If winter is not severe, natural gas price will also remain low.

Lets analyse option E first
(Premise 1) Oil prices to industrial customers are low this year and likely to remain so.
(Option E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
If Oil distribution is severely affected by severe winter then oil price will naturally go up. demand and supply.
But Premise states that Oil prices are low and are likely to stay so. Hence oil distribution is not going to be affected. Meaning winters are not going to be severe. Even if winter is severe, it makes no difference to gas distribution because gas distribution is not affected by severe winter.
Conclusion: If winter is not severe, natural gas price will also remain low.
Option E connects the premise and conclusion nicely.

Lets check B

Oil prices to industrial customers are low this year and likely to remain so.
(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
If there are 500 oil user and 500 gas user, and if all 500 gas user switches to oil, then oil price will go up. So if winter is severe or if winter is not severe, it does not makes a 2 cent difference to anyone because half of the industries are using oil and oil price is unlikely to change and other half will quickly change to oil because they have the capabilities to do so.
Now how is this option connecting the premise and conclusion ????
Conclusion: If winter is not severe, natural gas price will also remain low.
even if winter is severe, gas price will remain unaffected because no one is using gas. remember the 500 industry who use gas can switch to oil
Option B neither strengthen our conclusion nor it connects the premise to the conclusion.

How can Option B be the right answer ????
WHAT AM I MISSING?

Can anyone explain this question using other easy real life examples.


VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.

So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, gas prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.

_________________

Posting an answer without an explanation is "GOD COMPLEX". The world doesn't need any more gods. Please explain you answers properly.
FINAL GOODBYE :- 17th SEPTEMBER 2016. .. 16 March 2017 - I am back but for all purposes please consider me semi-retired.

Kudos [?]: 365 [0], given: 36

Expert Post
Veritas Prep GMAT Instructor
User avatar
G
Joined: 16 Oct 2010
Posts: 7668

Kudos [?]: 17324 [0], given: 232

Location: Pune, India
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 19 Jun 2016, 22:04
LogicGuru1 wrote:
(Premise 1) Oil prices to industrial customers are low this year and likely to remain so.
(Option A or B or C or D or E) This option will connect the first premise to the conclusion and strengthen the argument as a whole
(Conclusion) If winter is not severe, natural gas price will also remain low.

Lets analyse option E first
(Premise 1) Oil prices to industrial customers are low this year and likely to remain so.
(Option E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
If Oil distribution is severely affected by severe winter then oil price will naturally go up. demand and supply.
But Premise states that Oil prices are low and are likely to stay so. Hence oil distribution is not going to be affected. Meaning winters are not going to be severe. Even if winter is severe, it makes no difference to gas distribution because gas distribution is not affected by severe winter.
Conclusion: If winter is not severe, natural gas price will also remain low.
Option E connects the premise and conclusion nicely.

Lets check B

Oil prices to industrial customers are low this year and likely to remain so.
(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
If there are 500 oil user and 500 gas user, and if all 500 gas user switches to oil, then oil price will go up. So if winter is severe or if winter is not severe, it does not makes a 2 cent difference to anyone because half of the industries are using oil and oil price is unlikely to change and other half will quickly change to oil because they have the capabilities to do so.
Now how is this option connecting the premise and conclusion ????
Conclusion: If winter is not severe, natural gas price will also remain low.
even if winter is severe, gas price will remain unaffected because no one is using gas. remember the 500 industry who use gas can switch to oil
Option B neither strengthen our conclusion nor it connects the premise to the conclusion.

How can Option B be the right answer ????
WHAT AM I MISSING?

Can anyone explain this question using other easy real life examples.


VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.

So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, gas prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.


Notice what has been given as a premise and what is the conclusion.

Premise: Oil prices to industrial customers are low this year and likely to remain so.
(Should be taken as true). Oil prices are likely to remain low. Reasons could be many - new oil fields, changes in import restrictions etc. So it implies that irrespective of the demand situation this year, oil prices would likely remain low.

Conclusion: If winter is not severe, natural gas price will also remain low.
Why will natural gas prices see downward pressure too assuming winters are normal? One might assume that gas prices in winters would go up because of excess demand but there would be some element putting downward pressure on gas prices.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
If there are 500 oil user and 500 gas user, and if all 500 gas user switches to oil, then oil price will go up. - Not correct. We are given that oil prices are likely to remain low. So it doesn't matter whether the demand goes up or not.
The point is that extra demand of oil will not push up its prices so people might shift to oil. This will decrease the demand of gas and that will put downward pressure on its price. Hence gas prices are expected to stay low too.

This is the correct answer.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This is out of scope for us. Note the conclusion: "if winter is not severe ..."
We are not talking about what happens if winter is severe. The scope of our argument is only what happens if the winter is not severe.
_________________

Karishma
Veritas Prep | GMAT Instructor
My Blog

Get started with Veritas Prep GMAT On Demand for $199

Veritas Prep Reviews

Kudos [?]: 17324 [0], given: 232

Director
Director
User avatar
Joined: 04 Jun 2016
Posts: 647

Kudos [?]: 365 [0], given: 36

GMAT 1: 750 Q49 V43
Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 19 Jun 2016, 23:50
Quote:
Notice what has been given as a premise and what is the conclusion.

Premise: Oil prices to industrial customers are low this year and likely to remain so.
(Should be taken as true). Oil prices are likely to remain low. Reasons could be many - new oil fields, changes in import restrictions etc. So it implies that irrespective of the demand situation this year, oil prices would likely remain low.

Conclusion: If winter is not severe, natural gas price will also remain low.
Why will natural gas prices see downward pressure too assuming winters are normal? One might assume that gas prices in winters would go up because of excess demand but there would be some element putting downward pressure on gas prices.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
If there are 500 oil user and 500 gas user, and if all 500 gas user switches to oil, then oil price will go up. - Not correct. We are given that oil prices are likely to remain low. So it doesn't matter whether the demand goes up or not.
The point is that extra demand of oil will not push up its prices so people might shift to oil. This will decrease the demand of gas and that will put downward pressure on its price. Hence gas prices are expected to stay low too.

This is the correct answer.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This is out of scope for us. Note the conclusion: "if winter is not severe ..."
We are not talking about what happens if winter is severe. The scope of our argument is only what happens if the winter is not severe.



Again not convinced by the answer.
Lets add the option that is suppose to strengthen the answer and see how the entire argument pans out.
Premise 1 (Option B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
Premise 2 (Given) Oil prices to industrial customers are exceptionally low this year and likely to remain so
Conclusion (Given) Therefore, unless the winter is especially severe,the price of natural gas to industrial customers is also likely to remain low.
Makes sense :- Not at all. Not in a million years. I have to make unwarranted assumption in the most contrived manner. I have to think about demand and supply. I have to assume that what portion of industries is oil use and what portion of industries is gas user. I am forced to take a leap of deliberate what if and what if not...

Premise 1 (Option E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
Meaning there is a GREATER chance that supply of oil is affected by bad weather. THERE IS ALSO A SMALLER CHANCE THAT DISTRIBUTION OF NATURAL GAS MIGHT GET AFFECTED BY BAD WEATHER. IT DOES NOT SAY ANYWHERE THAT CHANCES OF DISTRIBUTION OF GAS BEING AFFECTED ARE ZERO. If severe winter occurs, Gas distribution can be affected although to a lower degree. IT IS LESS LIKELY BIT NOT IMPOSSIBLE.
Premise 2 (Given) Oil prices to industrial customers are exceptionally low this year and likely to remain so
Conclusion (Given) Therefore, unless the winter is especially severe,the price of natural gas to industrial customers is also likely to remain low.
Make sense :- yes perfect sense. Do i have to make assumptions. NOPE.
The Option tells me that there is a chance however small, however farfetched that gas supply can be affected by extremely harsh and severe winter. Also notice how the argument excludes oil prices from the conclusion to avoid negating the premise 2. See the beauty of the argument. P==>Q==>(negated R as a coclusion)

Use Option E and see how the argument is not flawed anymore.

B is a TYPO at best or a deliberate prank at worst.
Did anyone tried to double check and make sure that the answer is not a misprint because using logic one cannot reach B as the answer.
_________________

Posting an answer without an explanation is "GOD COMPLEX". The world doesn't need any more gods. Please explain you answers properly.
FINAL GOODBYE :- 17th SEPTEMBER 2016. .. 16 March 2017 - I am back but for all purposes please consider me semi-retired.

Kudos [?]: 365 [0], given: 36

Manager
Manager
User avatar
S
Joined: 03 Apr 2013
Posts: 243

Kudos [?]: 38 [0], given: 826

GMAT ToolKit User
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 24 Jul 2017, 06:15
Not convinced by the OA and the Expert's explanation. The expert assumes that if gas is not going to be used by the consumers, then the prices of the gas will remain low as a result of the demand being low, whereas it could well be because of something unstated. Please help.
_________________

Spread some love..Like = +1 Kudos :)

Kudos [?]: 38 [0], given: 826

Director
Director
avatar
B
Joined: 13 Feb 2015
Posts: 824

Kudos [?]: 8 [0], given: 32

Premium Member
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 26 Jul 2017, 09:16
Merged topics. Please, search before posting questions!
_________________

Please Read: Verbal Posting Rules

Kudos [?]: 8 [0], given: 32

Intern
Intern
avatar
B
Joined: 30 Aug 2017
Posts: 18

Kudos [?]: 0 [0], given: 22

CAT Tests
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 25 Sep 2017, 05:45
VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.

So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, gas prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.



In option (B), if we are assuming that prices of gas will go down because demand for gas will decrease, can we not assume that prices of oil will go up if the demand for oil increases? which will break the argument?

Kudos [?]: 0 [0], given: 22

Expert Post
Veritas Prep GMAT Instructor
User avatar
G
Joined: 16 Oct 2010
Posts: 7668

Kudos [?]: 17324 [0], given: 232

Location: Pune, India
Re: Despite the approach of winter oil prices to industrial [#permalink]

Show Tags

New post 25 Sep 2017, 06:22
tejas0999 wrote:
VeritasPrepKarishma wrote:
gauravkaushik8591 wrote:
PREMISE: Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so.

CONCLUSION: Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.


From what I understand, it means - Oil prices are low, therefore the natural gas prices are low. (unless there's severe winter)

So it means both the prices work in unison unless there's severe winter. So the SEVERE WINTER must introduce some irregularity. Right?

E states the irregularity.


Oil prices to industrial customers are low this year and likely to remain so.

Conclusion: If winter is not severe, natural gas price will also remain low.

So we are concluding that since oil prices are low, natural gas prices will remain low too. How can we strengthen the conclusion? In some way, we need to establish that gas prices will stay low if winters are not overly severe.

(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
This tells us that if gas prices go up, users will switch to the cheaper oil. If this happens, gas prices will go down again. Hence, if oil prices stay low, gas prices will stay low too.
This helps strengthen our conclusion.

(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
This doesn't explain the relation between oil and gas prices and hence doesn't strengthen our conclusion.



In option (B), if we are assuming that prices of gas will go down because demand for gas will decrease, can we not assume that prices of oil will go up if the demand for oil increases? which will break the argument?


Note that to break the argument, you have to break the conclusion. The conclusion is about natural gas prices. Besides, you are given in the argument that the price of oil is likely to remain low and you have to take it to be true.
_________________

Karishma
Veritas Prep | GMAT Instructor
My Blog

Get started with Veritas Prep GMAT On Demand for $199

Veritas Prep Reviews

Kudos [?]: 17324 [0], given: 232

Re: Despite the approach of winter oil prices to industrial   [#permalink] 25 Sep 2017, 06:22

Go to page   Previous    1   2   [ 32 posts ] 

Display posts from previous: Sort by

Despite the approach of winter oil prices to industrial

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  


cron

GMAT Club MBA Forum Home| About| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.