Question
Download Solution PDFGiven below is a cause followed by possible effects numbered I, II and III. Read the cause carefully and decide which of the three can be a the possible effect(s).
Cause:
The truckers' strike entered its 6th day today in State X, as they protested against the increase in diesel prices.
Effects:
(I) Supply of fruits and vegetables from neighbouring states has dropped drastically in the wholesale markets in the last week across many cities in State X.
(II) Demand for diesel vehicles has been steadily increasing in State X despite an increase in diesel prices.
(III) The auto rickshaw union in City Z has declared an increase in the starting fares for autos for 48 hours starting tomorrow morning at 6 a.m.
Answer (Detailed Solution Below)
Detailed Solution
Download Solution PDFCause:
The truckers' strike entered its 6th day today in State X, as they protested against the increase in diesel prices.
Statements:
I. Supply of fruits and vegetables from neighbouring states has dropped drastically in the wholesale markets in the last week across many cities in
State X.
This is clearly a direct effect of the truckers' strike. When truckers stop working, the transportation supply chain is immediately disrupted. Fruits and vegetables from neighboring states can't be delivered to wholesale markets in State X without trucks, resulting in drastically reduced supply.
II. Demand for diesel vehicles has been steadily increasing in State X despite an increase in diesel prices.
This cannot be a direct effect because the statement indicates a "steady increase" in demand, which suggests a long-term trend rather than a response to a 6- day strike. Additionally, the statement contradicts economic logic - higher diesel prices would typically reduce demand for diesel vehicles, not increase it.
III. The auto rickshaw union in City Z has declared an increase in the starting fares for autos for 48 hours starting tomorrow morning at 6 a.m.
This timing and structure of the auto union's action strongly suggests it's an independent event rather than a consequence of the truckers' strike.
Thus, Only I can be a possible effect.
Hence, the correct answer is "Option 3".
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