This quiz consists of 5 multiple choice and 5 short answer questions through Section VI. Time Travel into the Future, Chapters 24-26 Doomsday Mechanisms; A Pessimistic Scenario; A Realistic Scenario.

Multiple Choice Questions

1. What was the location of the meeting where the concept of the Federal Reserve was developed?
(a) The concept of the Federal Reserve was developed on Alcatraz Island.
(b) The concept of the Federal Reserve was developed in the Hawaiin Islands.
(c) The concept of the Federal Reserve was developed on Jekyll Island.
(d) The concept of the Federal Reserve was developed on Long Island.

2. When was the first central bank founded in the US?
(a) The first central bank was founded in the US before the Spanish-American War.
(b) The first central bank was founded in the US before the Civil War.
(c) The first central bank was founded in the US before the Constitution was drafted.
(d) The first central bank was founded in the US after the Constitution was drafted.

3. What impacted housing prices in the Midwest states?
(a) House prices declined because homeowners due to the region's lack of good school systems.
(b) The Rust Belt area of the country was not considered a desirable place in which to live.
(c) Housing prices declined because of poor construction standards in the area.
(d) The depression in the rust belt that included northern Midwestern states such as Michigan, Ohio and Pennsylvania reduced the number of potential home buyers which in turn depressed housing prices in those areas.

4. What resulted when paper money was not backed with gold or silver?
(a) Money not backed by precious metal led to booming economies and political stability.
(b) Money not backed by precious metal led to deflation and political upheaval.
(c) Money not backed by precious metal led to inflation and political upheaval.
(d) Money not backed by precious metal led to higher deficits.

5. How were the policies of FDR's administration a departure from capitalism?
(a) They abandoned the free market principles that were supposed to have worked with a purely capitalistic system.
(b) They abandoned standards of the Federal Reserve that were supposed to have worked with a purely capitalistic system.
(c) They abandoned Congressional banking regulations that were supposed to have worked with a purely capitalistic system.
(d) They abandoned the principles of the International Monetary Fund that were supposed to have worked with a purely capitalistic system.