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GMAT Critical Reasoning (CR) | Re: OG 2016 question : Many agriculturally intensive areas of the world

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Hi - can someone please explain the argument for me please

This statement is confusing me ..is the conclusion saying
a) the agricultural output is reduced because of a lack of water supply ?

OR

b) is somehow the water needed for the existing output somehow reduced ?

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"As a result, many farmers in these areas are likely to reduce their output as the water supply they need in order to maintain production shrinks"

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