Hi Can anyone pls explain me the explanation for [tooltip=Official Guide]OG[/tooltip] 10th edition question no: 153
Technological improvementis and reduced equipment costs have made converting solar energy drectly into elecrricity far more cost effecient in the last decade.However the threshold of economic viability for solar power (that is, th eprice per barrel to which oil would have to rise in order for new solar power plants to b emore economical than new oil fired poer plants) is unchanged at thirty five dollars.
which of the following i ftrue does most to help explain why th eincreased cost efficiency of solar power has not decreased its threshold of economic viability.
A) the cost of oil has fallen dramitically
C) Technological changes have increased the efficiency of oil based power plants.
As per me, ans is A
But [tooltip=Official Guide]OG[/tooltip] says C
I am saying A becoz..If oil prices are reduced dramatically, then Using enery from oil based power plant will be more economical and hence will offset the gains made by economic viability of solar power based plants even after techonological innovations and reduced equipment costs making solar poewer more cost efficient.
Can anyone explain why C is better than A...I mean How C better explains that economic viability is unchanged at $35.