View a FREE sample

This quiz consists of 5 multiple choice and 5 short answer questions through Section I. What Creature Is This? Chapters 5-6 Nearer to the Heart's Desire; Building the New World Order.

Multiple Choice Questions

1. Why did banks make risky loans?
(a) The banks had incentive in terms of high profits for granting mortgages to home buyers who would not be able to pay the loans off, but who might be able to make interest payments.
(b) Banks did not thoroughly check out the risk factor of some borrowers.
(c) The US Congress passed legislation that required banks to make ten percent of their loans to risky borrowers.
(d) Banks are required by the Federal Reserve to make a certain percentage of risky loans.

2. What major banks failed in 1972?
(a) In 1972, Bank of America and Citibank failed.
(b) Unity Bank fell in 1972, as did the Commonwealth Bank of Detroit.
(c) First Bank of California and Wells Fargo Bank failed in 1972.
(d) In 1972, First Bank of Michigan and New York Bank both failed.

3. What countries did the author point to as failures of the IMF and World Bank?
(a) The author used Venezuela, Chili, Cuba and Uraguay as examples of IMF and World Bank failures.
(b) The author used The Sudan, China, Pakistan and Afghanistan as examples of IMF and World Bank failures.
(c) The author used Greece, Ireland, Italy and Kirghistan as examples of IMF and World Bank failures.
(d) The author used Tanzania, Argentina, Brazil and Mexico as examples of IMF and World Bank failures.

4. In what year was the concept of the Federal Reserve first developed?
(a) The concept of the Federal Reserve was developed in 1966.
(b) The concept of the Federal Reserve was developed in 1952.
(c) The concept of the Federal Reserve was developed in 1910?
(d) The concept of the Federal Reserve was developed in 1920.

5. What risky loan activities have banks participated in?
(a) Banks loaned depositors' money out to to the US government in times of economic downturns.
(b) Banks loaned depositors' money out to risky debtors who would likely not be able to pay the loans off.
(c) Banks loaned depositors' money out to poor people during the Great Depression.
(d) Banks loaned depositors' money to foreign governments who refused to repay the loans.

Short Answer Questions

1. What often occurs to a conspiracy theory when deceit is not used to strengthen their case?

2. What do many people feel was the real reason behind the establishment of the Federal Reserve?

3. How did many people feel about those who went too far into debt?

4. What do some feel was the reason for establishing the Federal Reserve?

5. The author made what sports analogy to describe the problems with the banking system?

(see the answer key)

This section contains 749 words (approx. 3 pages at 300 words per page) View a FREE sample