A. Refute the theory that the free market plays a useful role in the development of industrialized societies.
B. Suggest methods by which economist and members of the government of the United States can recognize and combat price-fixing by large firms.
C. Explain the various ways in which industrialized societies can fix in order to stabilized the free market
D. Argue that price-fixing, in one form or another, is an inevitable part of and benefit to the economy of any industrialized society.
E. Analysis of free markets in different economies
Answer: E
Q.2
The passage provides information that would answer which of the following questions about price-fixing?
I.What are some of the ways in which prices can be fixed?
II.For what products is price-fixing likely to be more profitable than the operation of the free market?
III.Is price-fixing more common in socialist industrialized societies or in nonsocialist industrialized societies?
A. I only
B. III only
C. I and II only
D. II and III only
E. I, II and III
Answer: A
Q.3
The author’s attitude toward “Most economists in the United States” can best be described as
A. Spiteful and envious
B. Scornful and denunciatory
C. Critical and condescending
D. Ambivalent but deferential
E. Uncertain but interested
Answer: C
Q.4
It can be inferred from the author’s argument that a price fixed by the seller “seems pernicious” because
A. Seople do not have confidence in large firms
B. People do not expect the government to regulate prices
C. Most economists believe that consumers as a group should determine prices.
D. Most economists associate fixed prices with communist and socialist economies.
E. Most economists believe that no one group should determine prices.
Answer: C
Q.5
The suggestion in the passage that price-fixing in industrialized societies is normal arises from the author’s statement that price-fixing is
A. A profitable result of economic development
B. An inevitable result of the industrial system
C. The result of a number of carefully organized decisions.
D. A phenomenon common to industrialized and to industrialized societies.
E. A phenomenon best achieved cooperatively by government and industry.
Answer: B
Q.6
According to the author, priced-fixing in nonsocialist countries is often.
A. Accidental but productive
B. Illegal but useful
C. legal and innovative
D. Traditional and rigid
E. Intentional and widespread.
Answer: E
Q.7
According to the author, what is the result of the Soviet Union’s change in economic policy in the 1970’s?
A. Soviet firms show greater profit
B. Soviet firms have less control over the free market
C. Soviet firms are able to abject to technological advances.
D. Soviet firms have some authority to fix prices.
E. Soviet firms are more responsive to the free market.
Answer: D
Q.8
With which of the following statements regarding the behavior of large firms in industrialized societies would the author be most likely to agree.
A. The directors of large firms will continue to anticipate the demand for products
B. The directors of large firms are less interested in achieving a predictable level of profit tan in achieving a large profit.
C. The directors of large firms will strive to reduce the costs of their products.
D. Many directors of large firms believe that the government should establish the prices that will be charged for products.
E. Many directors of large firms believe that the price charged for products is likely to increase annually.
Answer: A
Q.9
In the passage, the author is primarily concerned with
A. Predicting the consequences of a practice
B. Criticizing a point of view
C. Calling attention to recent discoveries.
D. Proposing a topic for research.
E. Summarizing conflicting opinions.
Answer: B
Q.10
The primary purpose of the passage is to
A. Offer new explanations for the collapse of stars.
B. Explain the origins of black holes, neutron stars, and white dwarfs.
C. Compare the structure of atoms with the structure of the solar system.
D. Explain how the collapse of stars challenges accepted theories of physics.
E. Describe the imbalance between radiation pressure and gravitational force.
Answer: D
Q.11
According to the passage, in the final stages of its devedlopment our own sun is likely to take the form of a
A. White dwarf
B. Neutron star
C. Red giant
D. Gas of free neutrons
E. Black hole
Answer: A
Q.12
According to the passage, an imbalance arises between nuclear radiation pressure and gravitational force in stars because
A. The density of a star increases as it ages
B. Radiation pressure increases as a star increases in mass
C. Radiation pressure decreases when a star’s fuel has been consumed
D. The collapse of a star increases its gravitational force.
E. A dense plasma decreases the star’s gravitational force.
Answer: C
Q.13
The author asserts that the discoveries of the white dwarf, the neutron star, and the black hole are significant because these discoveries.
A. Demonstrate the probability of infinite density and infinitely small dimensions
B. Pose the most comprehensive and fundamental problem faced by physicists in decades
C. Clarify the paradox suggested by the collapse of electrons into atomic nuclei.
D. Establish the relationship between the mass and gravitational pressure.
E. Assist in establishing the age of the universe by tracing the life histories of stars.
Answer: B
Q.14
The passage contains information that answers which of the following questions?
A. I only
B. III only
C. I and II only
D. II and III only
E. I, II and III
Answer: E
Q.15
The author introduces the discussion of the paradox concerning atomic structures in order to
A. Show why it was necessary to develop quantum mechanics
B. Compare the structure of an atom with the structure of star
C. Demonstrate by analogy that a vital insight in astrophysics is missing
D. Illustrate the contention that improbable things do happen in astrophysics
E. Argue that atoms can collapse if their electrons do not remain in orbit.