The Truth About Socialism
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Questions and Answers

Who wanted to sell the newspaper to his employees?

  • Gene Bishop
  • The No. 2 man
  • The junior partner
  • The client (correct)

Who called in Crocker Bank to make a survey of the employees?

  • The client
  • Gene Bishop
  • The attorneys (correct)
  • The No. 2 man

What did the bank announce to the unions?

  • The employees can afford to pay the interest but not the principal (correct)
  • The employees cannot afford to pay the interest and principal
  • The employees can afford to pay the interest and principal
  • The employees can afford to pay the principal but not the interest

According to the text, what percentage of the people own the capital?

<p>98 percent (A)</p> Signup and view all the answers

What percentage of federal taxes are levied on people who earn to give through transfer payments to people who need?

<p>55 percent (D)</p> Signup and view all the answers

What is boondoggle according to the text?

<p>Jobs that are federally subsidized (D)</p> Signup and view all the answers

What is the main advantage of an ESOP leveraged buy out according to the text?

<p>It solves retirement security problems for all employees (B)</p> Signup and view all the answers

According to the text, what percentage of money churning through the stock market is pension money?

<p>85 percent (C)</p> Signup and view all the answers

What does the author suggest people do with their power?

<p>Acquire capital ownership in their employers (A)</p> Signup and view all the answers

According to the text, what is the yield on secondhand securities?

<p>5 or 6 percent (A)</p> Signup and view all the answers

According to the text, what are the two forms of social power in the world?

<p>Political power and economic power (D)</p> Signup and view all the answers

What is the dominant form of capital in early America, according to the text?

<p>Nature (D)</p> Signup and view all the answers

What is the current economic system in the United States, according to the text?

<p>Plutocracy (A)</p> Signup and view all the answers

What is the proposed solution to reverse the decline of economic democracy, according to the text?

<p>ESOP financing for business corporations (A)</p> Signup and view all the answers

According to the text, what is the logic of capital acquisition?

<p>To buy something that pays for itself (D)</p> Signup and view all the answers

According to the text, why do you have to be rich to buy capital assets?

<p>Because there is a risk that the asset might not pay for itself (C)</p> Signup and view all the answers

What is the risk associated with capital acquisition according to the text?

<p>Feasibility risk (C)</p> Signup and view all the answers

What is the worst possible kind of policy for insuring the feasibility risk according to the text?

<p>Self-insurance (D)</p> Signup and view all the answers

According to the text, what is the difference between the $1 million investment and the loan?

<p>$500,000 (B)</p> Signup and view all the answers

According to the text, who owns the majority of productive capital in the American economy?

<p>The top two percent of wealth holders (D)</p> Signup and view all the answers

According to the text, what is the relationship between production and income?

<p>Production and income are directly proportional (B)</p> Signup and view all the answers

According to the text, what percentage of goods and services in the American economy are produced by capital?

<p>90% (A)</p> Signup and view all the answers

According to the text, what is the purpose of government?

<p>To do for the people what they cannot do for themselves (B)</p> Signup and view all the answers

What is the author's opinion on the price of labor in the United States?

<p>It is rigged by management and labor (A)</p> Signup and view all the answers

What did the author predict would happen if the United States continued to distribute the increase in income through labor?

<p>Currency inflation, destruction of private property in capital, and loss of markets (A)</p> Signup and view all the answers

What does the author propose as a solution to putting capital ownership in fewer hands?

<p>ESOP financing (D)</p> Signup and view all the answers

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