This quiz consists of 5 multiple choice and 5 short answer questions through Section IV. A Tale of Three Banks, Chapters 16-19 The Creature Comes to America; A Den of Vipers; Loaves and Fishes, and Civil War; Greenbacks and Other Crimes.

Multiple Choice Questions

1. What generalization did the author make about conspiracy theorists?
(a) Those who believe in conspiracy theories usually are better educated than the average person.
(b) There were two kinds of people in the world--those who believed in conspiracy and those who did not.
(c) Conspiracy theorists are generally more intelligent than the general population.
(d) Those who believe in conspiracy theories are usually more well-informed than most people.

2. What occurred after the Second Bank of the United States was created?
(a) The Second Bank of the United States was created in 1816 and caused inflationary conditions.
(b) The Second Bank of the United States was created in 1816 and caused a period of deflation.
(c) The Second Bank of the United States was created in 1816 and created a booming economy.
(d) The Second Bank of the United States was created in 1816 and introduced the boom-bust cycle.

3. What is the author's main complaint?
(a) Central to the author's thesis was that a few scheming people were constantly and consistently strapping the IMF with the costs of the bad loans.
(b) Central to the author's thesis was that a few scheming people were constantly and consistently strapping the government with the costs of the bad loans.
(c) Central to the author's thesis was that a few scheming people were constantly and consistently strapping the Federal Reserve with the costs of the bad loans.
(d) Central to the author's thesis was that a few scheming people were constantly and consistently strapping the taxpayer with the costs of the bad loans.

4. What happened when Congress stepped in during the S&L crisis?
(a) When Congress did step in, it forced the S&Ls to make their holdings public.
(b) When Congress did step in, it forced the S&Ls to sell off all their junk bond holdings.
(c) When Congress did step in, it forced the S&Ls to sell all their assets.
(d) When Congress did step in, it forced the S&Ls to refund depositors at fifty percent.

5. What caused the economy to get into such a state that the government was compelled to bail out banks?
(a) The American people were taking out too many home loans.
(b) The argument could be made that lax lending practices and overly speculative investments had forced the government to use tax dollars in the bailouts.
(c) The International Monetary Fund had become dangerously unstable.
(d) The US Congress failed to pass legislation that would have boosted the economy.