Railroad Industry and Economic Concepts Quiz

Land grants to railroad companies:

• Encouraged corruption in the railroad industry.

• Discouraged corruption in the railroad industry.

• Had no impact on corruption.

• Were abolished shortly after they began.

The Credit Mobilier scandal:

• Was a minor issue with no public anger.

• Increased public trust in railroad companies.

• Caused widespread anger among Americans.

• Was unrelated to the railroad industry.

Advances in technology with electricity:

• Made large-scale production factories cheap.

• Made large-scale production factories possible but expensive.

• Prevented large-scale production entirely.

• Had no effect on production.

Laissez-faire economics:

• Was an advantage to entrepreneurs.

• Was a disadvantage to entrepreneurs.

• Encouraged monopolies exclusively.

• Was irrelevant to entrepreneurship.

The vast natural resources of the United States:

Why did many Americans fear monopolies?

• They believed monopolies would improve product quality.

• They believed monopolies could charge excessive prices.

• They supported monopolies entirely.

• They thought monopolies were powerless.

Why were retail businesses hesitant to advertise?

• They were confident in their sales without advertising.

• They were unsure if their products would sell.

• Advertising was banned during this period.

• Advertising was seen as ineffective.

What did corporations do with money from selling stock?

• Saved it for emergencies only.

• Used it to invest in new technology.

• Paid off government debts.

• Invested solely in agriculture.

What did employers believe about unions?

• Unions would benefit their business.

• Unions had no impact on business.

• Unions would harm their business.

Many Americans feared monopolies for what reason?

• They could charge whatever they wanted for products.

• They were irrelevant to everyday consumers.

• They reduced prices significantly.

• They helped small businesses grow.