1. What resulted from the 1970 Penn Central Railroad bailout?
(a) More roads were built by the government as a result of the bailout.
(b) Air traffic increased after the bailout.
(c) Travel in the US decreased as a result of the bailout.
(d) The 1970 Penn Central Railroad bailout resulted in government-owned Amtrak and privately owned Conrail.

2. What was the impact of the creation of new money on the currency?
(a) People considered the creation of new money inflationary as the prices of goods and services rose, but in reality this was a devaluing of the currency.
(b) People considered the creation of new money inflationary as the prices of goods and services rose, but in reality it was strengthening the currency in the world market.
(c) People considered the creation of new money inflationary as the prices of goods and services rose but had no impact on the currency.
(d) People considered the creation of new money inflationary as the prices of goods and services rose, but in reality this was increasing the value of the currency.

3. What do some feel was the reason for establishing the Federal Reserve?
(a) The Federal Reserve System was concocted to stabilize the economy.
(b) The Federal Reserve System was concocted not to stabilize the economy and create an economy that was distributed equally among the population.
(c) The Federal Reserve System was concocted not to stabilize the economy but to put economic control into the hands of a few people who agreed not to compete with one another.
(d) The Federal Reserve System was concocted to put economic control into the hands of the people.

4. When did the American public become interested in socialism as an alternative to capitalism?
(a) After World War II, the American public became interested in socialism as an alternative to capitalism.
(b) After LBJ's Great Society was enacted, the American public became interested in socialism as an alternative to capitalism.
(c) During the Great Depression of the 1930s, the American public became interested in socialism as an alternative to capitalism.
(d) During the Cold War, the American public became interested in socialism as an alternative to capitalism.

5. What happens when the Federal Reserve System prints new money?
(a) When the Federal Reserve System creates new money, it causes the stock market to rally.
(b) When the Federal Reserve System creates new money, it dilutes the value of the money already in the system.
(c) When the Federal Reserve System creates new money, it improves the overall economy.
(d) When the Federal Reserve System creates new money, it increases the value of the money already in the system.