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# Last year, the economic downturn affected economies throughout

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Tuck School Moderator
Status: Valar Dohaeris
Joined: 31 Aug 2016
Posts: 301
GMAT 1: 700 Q49 V37
Last year, the economic downturn affected economies throughout  [#permalink]

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10 Sep 2018, 08:45
1
00:00

Difficulty:

15% (low)

Question Stats:

87% (01:21) correct 13% (01:49) wrong based on 45 sessions

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Last year, the economic downturn affected economies throughout the world. Several million people across nations lost their jobs. Accordingly, the tourism business in the country of Daland, a popular international tourist destination, was severely affected on account of limited business from foreign tourists. However, even though most countries are still trying to recover from the recession, hoteliers in Daland have found that the business this year is back to its original form.

Which of the following, if true, most helps to explain the change between the first and the second year of the recession in the hotel business?

A. The hotel business is one of the most profitable businesses in Daland.

B. Other businesses such as clothing and luxury products have been affected more severely than the hotel business.

C. Most business sectors in Daland were affected by the recession only this year and hence many locals who typically travel to foreign countries chose to visit local destinations.

D. One of the historical sites in Daland features in the World Heritage List of the International Archaeological Society.

E. After suffering a setback last year, the Hotel Association of Daland considered decreasing the tariff rates to such a level that most hotels would have barely reached the break-even point.

_________________
Intern
Joined: 29 Aug 2018
Posts: 21
Re: Last year, the economic downturn affected economies throughout  [#permalink]

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11 Sep 2018, 19:48
Only C explains the reason and rest are out of scope.
To make the business at original level tourists have to come from somewhere either local or international.
Intern
Joined: 11 Sep 2018
Posts: 1
Re: Last year, the economic downturn affected economies throughout  [#permalink]

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11 Sep 2018, 20:03
i choose E, because E have more clues.
Re: Last year, the economic downturn affected economies throughout   [#permalink] 11 Sep 2018, 20:03
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