Complete the argument--oil export

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amysky_0205: Master | Next Rank: 500 Posts; Posts: 193; Joined: Wed Dec 05, 2012 6:53 amFollowed by: 5 members; Thanked: 4 times

by amysky_0205 » Thu Mar 07, 2013 2:15 am

Which of the following most logically completes the argument?

Utrania was formerly a major petroleum exporter, but in recent decades economic stagnation and restrictive regulations inhibited investment in new oil fields. In consequence, Utranian oil exports dropped steadily as old fields became depleted. Utrania's currently improving economic situation, together with less-restrictive regulations, will undoubtedly result in the rapid development of new fields. However, it would be premature to conclude that the rapid development of new fields will result in higher oil exports, because __________.

(A) the price of oil is expected to remain relatively stable over the next several years
(B) the improvement in the economic situation in Utrania is expected to result in a dramatic increase in the proportion of Utranians who own automobiles
(C) most of the investment in new oil fields in Utrania is expected to come from foreign sources
(D) new technology is available to recover oil from old oil fields formerly regarded as depleted
(E) many of the new oil fields in Utrania are likely to be as productive as those that were developed during the period when Utrania was a major oil exporter

OA: B

can someone explain this one?
I chose D instead of the right answer.

thank you.

Source: Beat The GMAT — Critical Reasoning | Thu Mar 07, 2013 2:15 am

GMATGuruNY: GMAT Instructor; Posts: 15539; Joined: Tue May 25, 2010 12:04 pmFollowed by: 1906 members; Location: New York, NY; Thanked: 13060 times; GMAT Score:790

by GMATGuruNY » Thu Mar 07, 2013 3:42 am

amysky_0205 wrote:Which of the following most logically completes the argument?

Utrania was formerly a major petroleum exporter, but in recent decades economic stagnation and restrictive regulations inhibited investment in new oil fields. In consequence, Utranian oil exports dropped steadily as old fields became depleted. Utrania's currently improving economic situation, together with less-restrictive regulations, will undoubtedly result in the rapid development of new fields. However, it would be premature to conclude that the rapid development of new fields will result in higher oil exports, because __________.

(A) the price of oil is expected to remain relatively stable over the next several years
(B) the improvement in the economic situation in Utrania is expected to result in a dramatic increase in the proportion of Utranians who own automobiles
(C) most of the investment in new oil fields in Utrania is expected to come from foreign sources
(D) new technology is available to recover oil from old oil fields formerly regarded as depleted
(E) many of the new oil fields in Utrania are likely to be as productive as those that were developed during the period when Utrania was a major oil exporter

Fact 1: There will be a rapid development of NEW OIL FIELDS.
Fact 2: There will not be higher oil EXPORTS.

The correct answer must explain why MORE OIL will not lead to more oil EXPORTS.

Answer choice B: The improvement in the economic situation in Utrania is expected to result in a dramatic increase in the proportion of Utranians who own automobiles.
Thus, the oil extracted from the NEW OIL FIELDS will be used by drivers in Utrania, explaining why there will NOT be an increase in oil EXPORTS.

The correct answer is B.

Answer choice D: New technology is available to recover oil from old oil fields formerly regarded as depleted.
This answer choice does not explain why oil recovered from the old fields and extracted from the new fields will not be exported.
Eliminated D.

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rashedhbs: Junior | Next Rank: 30 Posts; Posts: 10; Joined: Mon Nov 14, 2016 9:42 pm

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by rashedhbs » Mon Nov 12, 2018 8:52 pm

GMATGuruNY wrote:
amysky_0205 wrote:Which of the following most logically completes the argument?

Utrania was formerly a major petroleum exporter, but in recent decades economic stagnation and restrictive regulations inhibited investment in new oil fields. In consequence, Utranian oil exports dropped steadily as old fields became depleted. Utrania's currently improving economic situation, together with less-restrictive regulations, will undoubtedly result in the rapid development of new fields. However, it would be premature to conclude that the rapid development of new fields will result in higher oil exports, because __________.

(A) the price of oil is expected to remain relatively stable over the next several years
(B) the improvement in the economic situation in Utrania is expected to result in a dramatic increase in the proportion of Utranians who own automobiles
(C) most of the investment in new oil fields in Utrania is expected to come from foreign sources
(D) new technology is available to recover oil from old oil fields formerly regarded as depleted
(E) many of the new oil fields in Utrania are likely to be as productive as those that were developed during the period when Utrania was a major oil exporter
Fact 1: There will be a rapid development of NEW OIL FIELDS.
Fact 2: There will not be higher oil EXPORTS.

The correct answer must explain why MORE OIL will not lead to more oil EXPORTS.

Answer choice B: The improvement in the economic situation in Utrania is expected to result in a dramatic increase in the proportion of Utranians who own automobiles.
Thus, the oil extracted from the NEW OIL FIELDS will be used by drivers in Utrania, explaining why there will NOT be an increase in oil EXPORTS.

The correct answer is B.

Answer choice D: New technology is available to recover oil from old oil fields formerly regarded as depleted.
This answer choice does not explain why oil recovered from the old fields and extracted from the new fields will not be exported.
Eliminated D.

Oil ( I am thinking crude) is not the same as gasoline. Is there an assumption that the country will refine it. Or am I stretching too far?

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