TeHCM wrote:
Official Guide for GMAT Verbal Review, 2nd Edition
Practice Question
Question No.: 73
Page: 146
Difficulty:
Practice Question
Question No.: 73
Page: 146
Difficulty:
The cotton farms of Country Q became so productive that that market could not absorb all that they produced. Consequently, cotton prices fell. The government tried to boost cotton prices by offering farmers who took 25 percent of their cotton acreage out of production direct support payments up to a specified maximum perfarm.
The government's program, if successful, will not be a net burden on the budget. Which of the following, if true, is the basis for an explanation how this could be so?
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