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ACTIVITY 16: You are to read the following reading passage carefully. When
answering the questions 1-8 below, you are allowed to refer back to the
passage. The questions are based on what is stated or implied in the
Finally check the correct answers.
This passage was most likely published in a...
Confidence in the economy was expressed by all of
the following except...
strong stock market B.a
stable bond market C.increased
installment debt D.increased
plant and equipment expenditures E.rising
During the year in question, public confidence in
the economy resulted in part from which of the following occurrences?:
I. Possible peace in Vietnam
II. Reduction in East-West tensions
III. An entente with China
and II only D. II
and III only E.I,
II, and III
According to the author, business expansion for
the period under review was caused largely by...
monetary and fiscal policies B.rising
interest rates C.increased
foreign trade D.price
and wage controls E.implementation
of the Phase Three program
Most of the trade deficit in the balance of
payments was attributed to trade with which country?
United Kingdom B.
Japan C.Germany D.France E.
Part of the public policy task, as outlined in the
passage, is to...
consumer spending B.prevent
balance of payments deficits C.devalue
the dollar D.avoid
inflationary pressures E.increase
the balance of trade
The Phase Three program contained...
income taxes B.reduced
government spending C.devaluation
of the dollar D.productivity
measures E. wage
and price controls
The passage states that the unemployment rate at
the time the article was written was...
percent B.a little over 5 percent C.5
little over 4 percent