Unit 1 Test

1. The term ''laissez faire'' suggests that

• Land and other natural resources should be publicly owned, but capital equipment should be privately owned
• Land and other natural resources should be privately owned, but capital should be publicly owned
• Government should not interfere with the operation of the economy
• None of the above

2. Which of the following gave rise to labor unions?

• Poor working conditions
• Low wages
• Little job security
• all of the above

3. Which of the following practices are causes for the "robber baron" businessman of the late 19th century?

• a) bribed members of Congress for contracts
• created monopolies in certain areas
• gained their wealth by exploiting the common worker
• all of the above

4. In what industry did Vanderbilt make his original fortune?

• Railroads
• Steel
• Shipping
• Oil

5. Which product did Rockefeller decide to sell?

• crude oil
• Kerosene
• Rubber
• all of the above

6. A single seller of a good is known as a

• robber baron
• monopoly
• proprietary business
• all of the above .

7. How did Jay Gould and Jim Frisk decide to try to stop Vanderbilt?

• creating an infinite amount of stock
• watering down the stock
• both a and b
• neither a nor b .

8. Carnegie made his fortune in which business?

• Railroads
• Shipping
• Steel
• Oil

9. Which of the following was the major obstacle when transporting goods west?

• Crossing the Rocky Mountains
• Entering lands owned by Native Americans
• Railroad taxes implemented in Western territories
• Crossing the Mississippi River .

10. Why did Carnegie shift his focus from bridges to buildings?

• Railroads were dying
• Too much competition in the bridge industry
• Steel shortage
• none of the above .