Some analysts maintain that an embargo by country Litora on the export of a strategic metal to country Zenda, if imposed, would drive up the price of the metal in Zenda at least tenfold. They note that few other countries export the metal and that, with an embargo, Zenda might have to depend on as-yet-unexploited domestic sources of the metal.
Which of the following, if true, constitutes the most serious objection to the analysis above?

Question

Examsnet · Accepted Answer

Correct Answer is :  In case of an embargo, Zenda could buy the metal indirectly from Litora on the world market at a less than one-third increase in cost.

GMAT Verbal Reasoning Practice Test 3