Quote:
To protect certain fledgling industries, the government of country Z banned imports of the types of products those industries were starting to make. As a direct result, the cost of those products to the buyers, several export-dependent industries in Z, went up, sharply limiting the ability of those industries to compete effectively in their export markets.
Which of the following conclusions about country Z's adversely affected export-dependent industries is best supported by the passage?
(A) Profit margins in those industries were not high enough to absorb the rise in costs mentioned above.
(B) Those industries had to contend with the fact that other countries banned imports from country Z.
(C) Those industries succeeded in expanding the domestic market for their products.
(D) Steps to offset rising materials costs by decreasing labor costs were taken in those industries.
(E) Those industries started to move into export markets that they had previously judged unprofitable.
To answer this question, let us deploy
IMS's four-step technique.
STEP #1 ->
IDENTIFY THE QUESTION TYPETo identify the question type, we need to read the question stem. The stem states, 'Which of the following conclusions about country Z's adversely affected export-dependent industries is best supported by the passage?' What we have is a
conclusion question.
Now that the question type is identified, let us proceed to the second step.
STEP #2 ->
X-RAY THE PASSAGELet us read and understand the passage. Let us also state the facts we come across while reading.
FACT #1 -> To protect certain fledgling industries, the government of country Z banned imports of the types of products those industries were starting to make.
FACT #2 -> As a direct result, the cost of those products to the buyers, several export-dependent industries in Z, went up, sharply limiting the ability of those industries to compete effectively in their export markets.
We can infer that the government of country Z banned imports of the types of products that certain fledgling industries were beginning to make and that the cost of such products went up as a result of the ban. We can also infer that the buyers of these products were actually several export-dependent industries in the same country. These buyer industries' ability to compete effectively in their export markets got limited thanks to the government ban.
Now that the argument is x-rayed, let us proceed to the third step.
STEP #3 ->
FRAME A SHADOW ANSWERIn a conclusion question, the right answer links the unlinked terms or summarizes the entire passage. The right answer should also be 100 percent validated by the information stated in the passage.
SHADOW ANSWER: A situation that either links the unlinked terms in the passage or summarizes the info present therein.
STEP #4 ->
PROCESS OF ELIMINATIONAnswer options that go beyond the scope of the passage can be eliminated.
(A) Profit margins in those industries were not high enough to absorb the rise in costs mentioned above. -
MATCHES THE SHADOW ANSWER -
This answer option summarizes the info stated in the passage. If the increase in cost of the products sharply limited the ability of the buyer industries to compete effectively in the export markets, it is safe to conclude that profit margins in those industries were not high enough to absorb the rise in costs. -
KEEP(B) Those industries had to contend with the fact that other countries banned imports from country Z. -
NOT A MATCH -
Not worried about other countries. -
ELIMINATE(C) Those industries succeeded in expanding the domestic market for their products. -
NOT A MATCH -
Just because the increase in cost of the products sharply limited the ability of the buyer industries to compete effectively in the export markets, we cannot draw the conclusion that the industries succeeded in expanding the domestic market for their products. -
ELIMINATE(D) Steps to offset rising materials costs by decreasing labor costs were taken in those industries. -
NOT A MATCH -
Based on the facts we have, we cannot conclude that steps to offset rising materials costs were taken. -
ELIMINATE(E) Those industries started to move into export markets that they had previously judged unprofitable. -
NOT A MATCH -
Based on the stated facts, it is not plausible to conclude that those industries started to move into export markets that had previously been judged as unprofitable. -
ELIMINATEHence, A is the correct answer.