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Kernland's government restricts the use of

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Kernland's government restricts the use of [#permalink]

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New post 23 Mar 2018, 08:33
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Which of the following, if true, logically completes the reasoning in the passage

Kernland’s government restricts the export of unprocessed cashew nuts in order to ensure a low-cost supply for domestic processing plants. Though the policy constrains farm income and limits the number of farmers who can profitably grow cashews, the government defends it on the grounds that, since the processing plants are in urban areas, removing the restrictions would hurt efforts to reduce urban unemployment. However, the policy may actually have contributed to urban unemployment, since ______.
A. a lack of profitable crops Is driving many small cashew farmers In Kernland off their land and Into the cities
B. some of the by-products of cashew processing are used as raw materials by other Industries located In Kernland’s cities
C. the government does not place similar restrictions on the export of any crop other than cashews
D. the Income earned by workers In the processing plants Is generally greater than that earned by agricultural laborers In rural areas
E. without governmental aid In some form, Kernland’s cashew processing plants would not be able tie compete for sales In world markets.

Source: GMAT Default Exam Pack

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Kernland's government restricts the use of [#permalink]

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New post 24 Mar 2018, 08:23
Which of the following, if true, logically completes the reasoning in the passage

Kernland’s government restricts the export of unprocessed cashew nuts in order to ensure a low-cost supply for domestic processing plants. Though the policy constrains farm income and limits the number of farmers who can profitably grow cashews, the government defends it on the grounds that, since the processing plants are in urban areas, removing the restrictions would hurt efforts to reduce urban unemployment. However, the policy may actually have contributed to urban unemployment, since ______.

We are searching for an answer that explains why this policy might have increased urban employment.

A. A lack of profitable crops Is driving many small cashew farmers In Kernland off their land and Into the cities This statement implies that rural workers lose their jobs because growing crops is unviable due to the policy. If unemployed rural workers move to the cities the urban unemployment rate increases. This makes sense.
B. some of the by-products of cashew processing are used as raw materials by other Industries located In Kernland’s cities out of scope/strengthener. If by-products can be used in other industries, in which workers are employed too, the policy could perhaps help to reduce urban unemployment.
C. the government does not place similar restrictions on the export of any crop other than cashews not relevant
D. the Income earned by workers In the processing plants Is generally greater than that earned by agricultural laborers In rural areas This doesn't state a relation to unemployment
E. without governmental aid In some form, Kernland’s cashew processing plants would not be able tie compete for sales In world markets. Same as D
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Kernland's government restricts the use of   [#permalink] 24 Mar 2018, 08:23
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