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The cost of living in a given area is directly proportional to the wages paid by the dominant industry in that area. In Bangladesh, the dominant industry is farming. However, in Japan, the dominant industry is auto manufacturing. Thus, it is fair to conclude that the cost of living must be higher in Japan than in Bangladesh. The argument above assumes that-

A. The quality of life in Japan is higher than the quality of life in Bangladesh.

B. The number of people manufacturing autos in Bangladesh is higher than the number of people manufacturing autos in Japan.

C. Automobile workers in Japan are likely to leave Japan and move to areas with a lower cost of living.

D. The cost of living in Japan is higher than the cost of living in any other area.

E. Wages paid by the auto manufacturing industry are higher than those of the farming industry.

Explanation: Here the only factor associated with cost of living is wages. So if cost of living is high wages must be high as well.

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