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The correct answer choice is (C)
This is a difficult question. As support for the criticism raised by the author, two countries are mentioned that grant copyright exceptions to educational institutions. Answer choice (C) weakens the argument by showing that educational institutions are already given favorable treatment in many foreign countries, meaning that the “exceptions” granted are not in any way unique. In addition, because deep discounts are already granted, there is little loss of profit in these countries; literally, one could argue that the copyright exceptions make very little difference as the educational institutions are already paying minor amounts from a relative standpoint.
This answer choice does not destroy the criticism in the passage, but it does undermine it.