Cause–Effect reasoning: Link import surge to domestic price movement in a commodity market. Statement I: The Government imported large quantities of sugar under trade agreements with other countries. Statement II: Sugar prices in the domestic market fell sharply in recent months. Choose the correct option describing the relationship.

Difficulty: Easy

• Statement I is the cause and Statement II is its effect
• Statement II is the cause and Statement I is its effect
• Both are independent causes
• Both are effects of independent causes
• Both are effects of a common cause