Hi
GMATNinja MartyMurrayWhen I looked first at (B), I thought that decline in other countries' cotton production can lead to an
import from country Q which can be helpful for Q's government from
trade revenues perspective and
decrease the budget deficit. What is wrong with this reasoning? Is
the slight decline leading to an import/export an unwarranted assumption that we can't make?
GMATNinja
Quote:
(B) Cotton production in several countries other than Q declined slightly the year that support-payment program went into effect in Q.
This is evidence that the plan will have limited success the first year, but that's not what we're after. Even if the plan succeeds, the government's costs will go up as they make payments to the farms. We need something that could explain how the government might avoid a net loss despite these increased costs. Eliminate (B).