1.

This passage was most likely published in a...

A. popular magazine
B. general newspaper
C. science journal
D. financial journal
E. text book

2.

Confidence in the economy was expressed by all of the following except...

A. a strong stock market
B. a stable bond market
C. increased installment debt
D. increased plant and equipment expenditures
E. rising interest rates

3.

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

A. I only
B. III only
C. I and II only
D. II and III only
E. I, II, and III

4.

According to the author, business expansion for the period under review was caused largely by...

A. stimulative monetary and fiscal policies
B. rising interest rates
C. increased foreign trade
D. price and wage controls
E. implementation of the Phase Three program

5.

Most of the trade deficit in the balance of payments was attributed to trade with which country?

A.  United Kingdom
B.  Japan
C. Germany
D. France
E.  Saudi Arabia

6.

Part of the public policy task, as outlined in the passage, is to...

A. cut consumer spending
B. prevent balance of payments deficits
C. devalue the dollar
D. avoid inflationary pressures
E. increase the balance of trade

7.

The Phase Three program contained...

A. higher income taxes
B. reduced government spending
C. devaluation of the dollar
D. productivity measures
E. wage and price controls

8.

The passage states that the unemployment rate at the time the article was written was...

A. 6 percent
B. a little over 5 percent
C. 5 percent
D. a little over 4 percent
E. 4 percent