Argument - Govt aid - in form of the difference in market price and target price set by govt. Drought can decrease this govt aid. In 1983, the govt aid decreased.
Question - Explain the decrease in govt aid provided in 1983

(A) Prior to the drought of 1983, the government raised the target price for crops in order to aid farmers in reducing their debt loads.
- If govt raised the target price + considering that the market price was constant - the aid should actually increase
- Wrong

(B) Due to the drought of 1983, United States farmers exported less food in 1983 than in the preceding year.
- Exported less food --> more food available for domestic use --> supply increases --> prices can actually drop --> aid should increase and not decrease
- Wrong

(C) Due to the drought of 1983, United States farmers had smaller harvests and thus received a higher market price for the 1983 crop than for the larger crop of the preceding year.
- Smaller harvest --> market price increase --> (assumption that the govt did not decrease/increase the target price with respect to previous year) --> The difference in market price and target price decreased --> aid decreased
- Correct

(D) Due to the drought of 1983, United States farmers planned to plant smaller crops in 1984 than they had in 1983.
- The argument focuses on the plantation in 1983 - Out of scope
- Wrong

(E) Despite the drought of 1983, retail prices for food did not increase significantly between 1982 and 1983.
- If retail prices did not increase + govt aid remained fairly constant --> the aid provided should not change
- Wrong