Assertion–Reason (Devaluation and Exports): Assertion (A): The country’s exports became very attractive in terms of price to importers. Reason (R): The currency of the country was devalued.

Introduction / Context:This problem examines basic international economics: how nominal exchange rate changes affect the foreign-currency prices of a country’s exports and, therefore, export competitiveness.

Given Data / Assumptions:

• A: Export prices became attractive to foreign buyers.
• R: The domestic currency was devalued (i.e., it buys fewer units of foreign currency).
• Standard assumption: pass-through from exchange rate to export prices is significant in the short run, ceteris paribus.

Concept / Approach:Devaluation typically reduces the foreign-currency price of domestically produced goods (holding domestic costs and margins constant), improving price competitiveness of exports. We check truth of A and R and then causal adequacy of R in explaining A.

Step-by-Step Solution:1) R is true by premise: devaluation occurred.2) If exporters adjust minimally, the foreign-currency price falls, making products “attractive” to importers abroad; hence A is true.3) The explanation is direct: devaluation lowers relative price, boosting price-based competitiveness; thus R correctly explains A.

Verification / Alternative check:Export surges are often associated with sustained devaluation episodes, controlling for demand, costs, and non-price factors (quality, logistics).

Why Other Options Are Wrong:(b) denies the clear price mechanism; (c)/(d) conflict with the given premises; “None” is unnecessary.

Common Pitfalls:Ignoring other determinants (elasticities, hedging, imported inputs) which may dampen effects. But they do not negate the basic explanatory link.

Final Answer:Both A and R are true, and R correctly explains A.