Consider the statement given below followed by two conclusions. Decide which of the conclusions follows from the information given in the statement.
Statement: Domestic demand has been increasing faster than production of indigenous crude oil.
Conclusions:
I. Crude oil must be imported.
II. Domestic demand should be reduced.

Question

Take the given statements to be true even if they seem to be at variance from commonly known facts. Which conclusion would follow on the basis
of given statements.
Statement:
'Some bags are purses',
'All purses are containers' and
'All containers are suitcases'.
Conclusions:
(A) Some suitcases are bags
(B) All purses are bags
(C) All purses are suitcases
(D) Some containers are purses
Choose the correct answer from the options given below:

Answer 1

The provided information indicates that domestic demand for crude oil is exceeding domestic production, potentially leading to a supply shortage.

Conclusion I (<i>Crude oil imports are necessary</i>) is a logical consequence, as a deficit could necessitate imports to satisfy demand.
Conclusion II (<i>Domestic demand needs to be lowered</i>) represents an alternative solution, but is not explicitly stated. The information only highlights a discrepancy between demand and supply, not a requirement to reduce demand.

Therefore, both conclusions are plausible, and either could reasonably follow from the presented information.

The Correct Option is C

Solution and Explanation

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